person's insurance needs are different, and which policy you choose
will be based on each person's individual situation. There are a
lot of factors involved in determining which coverage is right for
you ... such as: age, health conditions, how much life insurance
you need and why you need the life insurance. The brief information
we have provided below is for your reference. If you are looking
to buy life insurance there are so many things to consider, we strongly
recommend you take a few minutes to call and consult with one of
our highly knowledgeable family members today. We can help you make
the process simple by going over all your options to determine the
solution that fits your specific need at this time.
of Life Insurance Policies
Term life provides a cash benefit should you die within the specified
term. Term Life can be ideal if you are looking for affordable life
coverage for important life events such as marriage, birth or adoption
of children, and the purchase of a new home. Most term policies
have a renewable option, however, as you get older, and the term
policy expires, your risk of dying increases, so the cost of term
insurance goes up. Term insurance does not build cash value, making
it less expensive than whole life or other types of permanent insurance.
Accidental Death Life Insurance is a distinctive term life insurance
that pays the entire benefit amount to your beneficiaries if you
die in an accident on or off the job. This is a very inexpensive
way to insure the future of your family. New Plans have been introduced
to the market that also offers an Accident-Only Disability Income
option that can be added, that provides a monthly benefit if you
are totally disabled by an accident.
Renewable Term Life
Annually renewable term, or "ART" (sometimes called yearly
renewable term, or "YRT"), is an example of a term insurance
policy that has a constant face value and premiums that are adjusted
upwards each year to reflect the increasing probability of your
death in any given year.
term insurance refers to a type of annual renewable term life insurance
policy with a decreasing death benefit (face amount) and level premiums.
Decreasing term is ideal for insuring a liability that is gradually
being paid off, like a home mortgage.
you prefer, you may select a "level term" policy which
guarantees that you will pay the same annual premium for a set number
of years (usually 5, 10, 15, or 20) for the same amount of death
benefit. The longer the guaranteed term, the greater the initial
premium, but the longer the premium stays fixed. In most cases,
if you know you will need your term insurance for an extended period
of time, a level term policy will prove less costly than an annual
renewable term policy.
Mortgage Life insurance is an policy which either pays lenders or investors for losses due to the default of a mortgage loan. Mortgage insurance can be either public or private depending upon the insurer.
of Premium Term Life
A relatively new type of policy, life insurance provides the benefits
of traditional term life while the policy is in force, and then
at the end of the policy period, pays back all the premiums you
have paid. The catch, of course, is that you must still be alive
to collect your premiums.
whole life policy offers lifelong, permanent insurance protection
that is ideal for individual, business or estate-planning needs.
Over time, a whole life policy builds cash value, which you may
borrow against if needed. The death benefit is income tax-free.
Unsually, this type of policy has a level premium for the life of
the policy. Initial premiums are generally high compared with term
insurance premiums, but eventually they become lower than the premiums
you would pay if you had kept renewing a term policy. For business
owners, the protection provided by a whole life policy can assure
their company will have the finances to continue to operate after
the death of a key person.
Premium Life Insurance
single premium life insurance is a fully paid-up whole life insurance
plan that is purchased with one lump sum payment. No future payments
are necessary. Rates are low due to higher interest rate assumptions.
Due to the single premium payment the policy will have an immediate
cash value and loan value which could be significant depending on
the amount of the single premium payment. Cash value continues to
increase annually even though you pay no additional premiums. Since
a substantial single premium payment could be involved, this type
of plan may be viewed more as an investment-oriented type of whole
life insurance product.
With universal life insurance coverage, which also covers you for
as long as you live, you can vary your premium payments and the
face amount of your coverage. Most of your premium payment goes
into an account, which earns interest. You may borrow against the
cash value, but eventually, if the balance continues to drop, your
coverage will end. To prevent that, you would have to start making
premium payments again, increase your premium payments, or lower
your death benefits. Generally, your policy will state that it will
pay the premiums from the cash value of your policy.
Exam Life Insurance
No Exam Life Insurance can be for either term life or whole life
insurance. Basically, the issuance of the policy is based upon the
answers you provide on the application, there is no medical exam
required. You will not be required to give blood or do a paramedical
exam. Coverage amounts vary depending on age and health conditions.
If you are restricted on time or simply don’t like the thought
of taking a physical for life insurance this is the best way to
Expense Life Insurance
Final Expense Life Insurance is designed to take care of your final
expenses. Families are often faced with bills for funeral expenses,
medical and travel expenses and other debts when the loss of a loved
one occurs. Most companies offer three different plans to assist
in paying for final expenses: (1) Level Death Benefit (2) Graded
Death Benefit (3) Modified Death Benefit. Your past and current
health will determine which plan you qualify for. Benefits on these
policies do not decrease due to age or declining health and premiums
will not increase. This coverage builds guaranteed cash values that
you may borrow against for future emergencies.
Issue Life Insurance
Guaranteed Issue Life Insurance has No Health Questions! No Medical
Examinations! No Physical Examinations! They usually have a very
simple application with lower coverage amounts that can vary by
company. They have Level Guaranteed Premiums for life. This is a
great solution for those who have been diagnosed with a terminal
illness or who have been declined by multiple insurance companies
due to health conditions. If you've been refused insurance or been
offered a plan with a high surcharge because of your health, habits
or family medical history, Guaranteed Issue Life Insurance is an
option. Your need only indicate basic information such as name,
address and beneficiary to receive an application to obtain the
is simply preparation for the direct and indirect expenses of a
future event. That is why many parents view taking out a child life
insurance policy as too morbid to consider. However, there are several
reasons why the subject of child life insurance should not be considered
taboo in your family.
Life Insurance for Children
child life insurance allows them to get insurance at low premiums.
Since premiums are guaranteed to stay at the same low rate for the
rest of their lives, you give your child protection against the
high premiums he or she would have to pay when life insurance is
purchased during adulthood. It builds cash value, so your child
will have the option to borrow against their policy, or cash it
in if a future need should arise. Benefits can never be reduced
or cancelled no matter what health issues occur in your child's
Life Insurance for Children
term child life insurance has its benefits. For example, it ensures
future eligibility, which may be important if your family has a
history of illness. If you take out an insurance policy on your
child, he or she becomes automatically eligible for any type of
insurance later in life.
Life Insurance Can Save Your Family
One of the main reasons why getting life insurance for children
is a good decision is one that families often fail to accept –
the death of a child. A child's death can be emotionally devastating,
both to the parents and to the remaining children. It can be financially
devastating too. Moreover, studies show that the possibility of
dysfunction and divorce are high in a family that has suffered the
loss of a child. The family needs time to grieve and having a financial
cushion can be a good way to buy time without depriving the family
of the benefits of an income. Child life insurance can also pay
for professional help and counseling for the family.