BUYING LIFE INSURANCE
The first step in the process of buying life insurance is to determine the
amount of coverage you need, how long you need it for, and what you can afford to pay.
Next, learn what kinds of policies will meet your needs and pick the one
that’s right for you.
We can help you every step of the way. We can help you determine the right amount of
coverage and type of policy based on your individual set of circumstances. Every plan is
tailored to your needs and concerns.
When deciding how much coverage you need, consider the following:
- How much of the family income do I provide? If I were to die early, how would my
survivors, especially my children, get by? Does anyone else depend on me financially?
- Do I have children for whom I’d like to set aside money to finish their education
in the event of my death?
- How will my family pay final expenses and repay debts after my death?
- Do I have family members or organizations to whom I would like to leave money?
- Will there be estate taxes to pay after my death?
- How will inflation affect future needs?
Businesses have different needs for life insurance and we can make recommendations
to fill those needs as well.
FINDING THE RIGHT KIND OF INSURANCE
All policies are not the same. Some give coverage for your lifetime and others cover
you for a specific number of years. Some build up cash values and others do not. Some
policies combine different kinds of insurance, and others let you change from one kind of
insurance to another.
There are two basic types of life insurance: Term Insurance
and Cash Value Insurance. Term insurance generally
has lower premiums during a specified period, but does not
build up cash values that you can use in the future.
Term Insurance covers you for a term of one or more
years. It pays a death benefit only if you die in that term.
Term insurance generally offers the largest insurance protection
for your premium dollar. You can renew most term insurance
policies for one or more terms even if your health has changed.
Each time you renew the policy for a new term, premiums may
be higher. Some companies will give you the right to keep
the policy in force for a guaranteed period at the same price
each year. You may be able to trade many term insurance policies
for a cash value policy during a specified period-even if
you are not in good health. Premiums for the new policy will
be higher than you have been paying for the term insurance,
but based on standard rates.
Cash Value Life Insurance is a type of insurance
where the premiums charged are higher at the beginning than
they would be for the same amount of term insurance. The part
of the premium that is not used for the cost of insurance
is invested by the company and builds up a cash value that
may be used in a variety of ways. You may borrow against a
policy’s cash value by taking a policy loan. If you don’t
pay back the loan and the interest on it, the amount you owe
will be subtracted from the benefits when you die, or from
the cash value if you stop paying premiums and take out the
remaining cash value. You can also use your cash value to
keep insurance protection for a limited time or to buy a reduced
amount without having to pay more premiums. Cash value life
insurance may be one of several types; whole life, universal
life and variable life are all types of cash value insurance.
Call us for an appointment or to answer any questions you may have. We’ll find the
right coverage for your needs at a price you can afford.
- Term Life - low rates - 1,5,10,15, and 20 year guaranteed premium plans.
- Permanent or Cash Value Life (Universal, Whole life)
- Second -to- Die Policies
- Business Life
- Disability/Loss of Income
- Long Term Care
- 401K/Retirement Plans
- Annuities
- Health Insurance
|
