What feature does the flexible premium in universal life allow?

The flexible premium feature in universal life insurance allows policyholders to vary their premium payments according to their financial situation and needs. Unlike traditional life insurance policies that require fixed premiums, universal life provides the flexibility to increase or decrease premium contributions within certain guidelines set by the insurer. This characteristic is particularly beneficial because it accommodates the policyholder's changing financial circumstances, allowing them to contribute more in times of financial abundance and less when finances are tight.

By enabling varied premium payments, universal life insurance aligns with the concept of adjusting to the policyholder’s current priorities and obligations while still maintaining the coverage. This flexibility is one of the key attractions of universal life insurance compared to other more rigid life insurance products.