Why consider getting a life insurance policy? In our youth, we often believe that we are invincible. We just don’t consider what will happen once we are gone. But this is not the right way to think, especially if you have a family to consider. What would happen to them if you suddenly pass? Will they be taken care of financially? Have you saved enough of the nest egg for them to thrive when you are gone?
These are all questions to consider. It doesn’t matter if you are relatively young and in good health or reaching retirement age. Anyone can pass away from this earth at any time. It doesn’t matter if you’re five years old or 95 years old. Things happen and people die. You can either protect yourself and your loved ones or choose to ignore the inevitable.
Instead, why not take out life insurance? There are a number of different policies to choose from including term coverage, whole life, a universal policy and more.
If you’d like, you can receive an insurance quote by filling out the contact form on this page. Many of the ins. reps will get back to you and tell you more about their policies and what they have to offer.
Does that sound fair? Let’s now take a look at a more in-depth review of the various types of coverage and what they have to offer.
Term Life Coverage
This is your basic form of life insurance. You will basically go into contract with an insurance company over an extended period of time. They agree to lock in your premiums at a certain cost for the duration of that time period, As long as you continue to make your regular monthly payments.
But here’s the catch…
Once the time frame is up and it passes, the insurance company will no longer guarantee the exact same rate. You’ll have to renegotiate with your provider in order to either get a better rate or lock in the same rate that you previously had, but there are no guarantees that you will get the exact same price this time around.
Some people prefer term life insurance because they are not locked into a long-term plan. Ultimately, you have to think about what’s best for you and your loved ones and come to a decision about the type of plan that is best for all of you.
Whole Life Policy
Whole life differs from a term policy on a number of different levels. For starters, this is more of a permanent insurance coverage type of plan.
The person being insured is required to make periodic payments, and this will usually take place on a monthly basis. This provides your loved ones and beneficiaries the correct type of coverage after you pass on from this world.
This is an excellent type of insurance for those that have long-range goals. Meaning the whole life policy will cover you as long as you are alive. The only requirement of you is that you must pay your premiums each time they are supposed to be submitted. Your loved ones will reap the benefits of the policy when you are no longer with us.
Another thing to consider is that this plan is suitable for all ages. But it’s specifically better for those who are either near death or terminally ill. It’s a permanent plan and it never expires, so you get the benefits of this insurance coverage for as long as you are alive.
This is a great plan for senior citizens because they do not have to worry about renewing the policy as they get older. As you all know, getting insurance coverage as you age can often be difficult. This solves that problem completely.
Universal Life Plan
As far as life insurance policies are concerned, this specific type of universal plan is good because like whole coverage, it covers you as long as you are alive.
But here’s the catch…
You may decide to make premium payments above the amount that is due based on the terms of your agreement. Instead of having to worry about losing this money, the additional payments will be credited to your account until they run out. This is great for those who fear that they might not be able to make the payments at a later date but can afford to make them now, while they are still working, collecting Social Security, etc.
Another advantage to this type of policy is that you can use it to pay off debt. If you are to pass on from this world suddenly, the beneficiary can receive the payment and use it to pay down your debt. As a matter of fact, there are some people that look at this type of insurance policy as a way to save money, kind of like a built-in savings account.
Now that you understand the different forms of life insurance, are you going to take out a policy? It’s advisable that you do. You’ll know for a fact that your loved ones are taken care of after you are gone, plus it can cover your funeral expenses and so much more.