Which of the following is NOT true about Universal Life policies?

The statement that increases in face amount do not require proof of insurability if under $100,000 is not true about Universal Life policies. Generally, any increase in face amount for Universal Life insurance typically requires proof of insurability, regardless of the amount. This requirement ensures that the insurer assesses the risk of the insured’s current health status before agreeing to increase the policy coverage.

In contrast, other statements about Universal Life policies remain accurate. The policy allows the insured to decrease the face amount, providing flexibility to adjust coverage based on changing needs or financial situations. Additionally, Universal Life policies are known for their flexible premium payments, allowing policyholders to pay more or less depending on their financial circumstances. Furthermore, policyowners do have control over the cash value, enabling them to manage investments within the policy to grow their cash savings as desired.