LIFE INSURANCE
Life insurance gives you the peace of mind knowing that you are looking after your loved ones, who depend on you financially. The money from a life insurance policy can be used to help your family replace lost income, pay the mortgage, fund a child’s higher education, pay for final expenses and much more.
Types of Life Insurance
There are four main types of non-variable life insurance coverage options available. While all give a death benefit, they can vary a great deal in terms of coverage length, premium flexibility, cash accumulation and distribution and more.
Term Life Insurance
This type of policy is for a temporary time period, usually 10 to 30 years. It has no cash value and premiums will be fixed for the initial time period. There will be a guaranteed death benefit only for the length of the term period purchased. Term life insurance usually has premiums that are initially lower than any other form of life insurance as the policy will only provide a death benefit for a specific period of time. As the years go on, some term policies can be extended or converted into another type of policy, such as a whole life policy. If you choose to renew or convert your policy, your new premium will likely be higher.
Whole Life Insurance
This type of policy offers coverage for your lifetime and it provides guaranteed cash value. You will pay a fixed premium and the guaranteed death benefit will be for your lifetime. The benefit of a whole life policy is it offers a guaranteed cash value and benefits in exchange for fixed premiums. This type of policy may build cash value at a slower rate than other policies, however.
Guaranteed Universal Life Insurance
This type of policy can give coverage up to your lifetime and you will earn interest that is credited at the rate set by the insurance provider. Premiums are flexible, and the guaranteed death benefit can be lifetime coverage or dialed down to any length of coverage if you choose.
Index Universal Life Insurance
This type of policy can give coverage up to your lifetime, and it does have cash value with an interest crediting rate that can be linked to a percentage change of an index. The guaranteed death benefit usually ranges from 10 to 30 years.
[rev_slider alias="pipeline"]
LIFE INSURANCE
Life insurance gives you the peace of mind knowing that you are looking after your loved ones, who depend on you financially. The money from a life insurance policy can be used to help your family replace lost income, pay the mortgage, fund a child’s higher education, pay for final expenses and much more.
Types of Life Insurance
There are four main types of non-variable life insurance coverage options available. While all give a death benefit, they can vary a great deal in terms of coverage length, premium flexibility, cash accumulation and distribution and more.
Term Life Insurance
This type of policy is for a temporary time period, usually 10 to 30 years. It has no cash value and premiums will be fixed for the initial time period. There will be a guaranteed death benefit only for the length of the term period purchased. Term life insurance usually has premiums that are initially lower than any other form of life insurance as the policy will only provide a death benefit for a specific period of time. As the years go on, some term policies can be extended or converted into another type of policy, such as a whole life policy. If you choose to renew or convert your policy, your new premium will likely be higher.
Whole Life Insurance
This type of policy offers coverage for your lifetime and it provides guaranteed cash value. You will pay a fixed premium and the guaranteed death benefit will be for your lifetime. The benefit of a whole life policy is it offers a guaranteed cash value and benefits in exchange for fixed premiums. This type of policy may build cash value at a slower rate than other policies, however.
Guaranteed Universal Life Insurance
This type of policy can give coverage up to your lifetime and you will earn interest that is credited at the rate set by the insurance provider. Premiums are flexible, and the guaranteed death benefit can be lifetime coverage or dialed down to any length of coverage if you choose.
Index Universal Life Insurance
This type of policy can give coverage up to your lifetime, and it does have cash value with an interest crediting rate that can be linked to a percentage change of an index. The guaranteed death benefit usually ranges from 10 to 30 years.
