What type of policy might include the option to increase the death benefit over time?

Universal life insurance is designed with flexibility, allowing policyholders to adjust both the premiums and the death benefit over time. This type of policy typically accumulates cash value, which can grow based on the interest rate credited by the insurance company. One of the standout features of universal life insurance is that policyholders can increase their death benefit after a certain initial period, provided they meet specific underwriting criteria and the policy's funds can support the increase. This adaptability makes universal life insurance appealing to those who anticipate their insurance needs might change as they progress through different life stages, such as marriage or parenthood.

In contrast, term life insurance has a set benefit for a specified period and does not typically allow for increases in coverage. Accidental death insurance is focused only on providing benefits for deaths resulting from accidents, without any flexibility to increase coverage amounts. A single premium whole life insurance policy provides a predetermined death benefit and does not generally allow for increases once established.