Life Insurance Information Center
Much Do I Need
Types of insurance
much life insurance do I need?
We are aware that every individual requires personalized consideration when it comes to life insurance needs. Nobody can dictate how much insurance you require.
You must determine what your dependents will need to maintain a consistent lifestyle without your support.
Feel free to consult with our agents to establish the quantity that is right for you, .
Types Of Life Insurance
|Term- Life insurance under which the death benefit is
payable only if the insured dies during a specified period of time or
term of insurance chosen. Term insurance policies do not build up cash
value, but they usually offer conversion and renewable features.
Permanent- Life insurance that continues as long as premium payments are made or enough funds are available to cover the cost of insurance charges. Typically the policy goes until age 95 or 100 of the insured
Term vs. Permanent- Term life insurance is appropriate and more cost effective for temporary needs, which may be a period of one to thirty years. On the other hand, permanent life insurance is better for permanent or long term needs.
Whole Life- Provides a death benefit and an accumulating cash value. By definition, it has a fixed premium and a level death benefit to age 100. The premiums don't increase with age, which averages the cost of the policy over your life. The cash value increases with time until it equals the death benefit at age 100. Whole life is also known as Ordinary (or Permanent) life insurance. This type of policy never has to be renewed or converted. The cash value is an amount of money that you are guaranteed to receive in the event of policy cancellation. You also have the right to borrow against the cash value on a loan basis.
Universal Life- A flexible premium life insurance policy under which the policyowner may change the death benefit from time to time (with satisfactory evidence of insurability for increases) and vary the amount of premium payments, as long as the cash value is sufficient to meet the cost of insurance charges. Premiums (less expensive charges) are credited to a policy account from which mortality charges are deducted and interest is credited, generally at current interest rates.
Variable Universal Life- Its a flexible premium universal life insurance policy where the policy owner can choose where the net policy is invested among a number of investment options. These investments options typically include stock, bond, and asset allocation funds, allowing the policy owner to take advantage of market opportunities.
Joint Insurance- Is a type of whole life insurance, which insures two people, and pays benefits only after the second person dies. It is generally designed to provide funds to pay estate taxes. Also called second-to-die life insurance, "joint and last survivor" and "last- to-die" insurance.