Life Insurance

 Assessing your needs......Types of life insurance.....Value of life insurance

Assessing your needs

We will provide a life insurance product that is in your best interest and that meets your needs.  We will discuss your individual situation until you decide what level of coverage you want and how long you wish to maintain that level of coverage.

Generally, you should consider life insurance if you have:

     A spouse

     Dependent children

     Aging parents or a physically-challenged dependent who depends on you for support

     Retirement savings that are not sufficient to insure your spouse’s future financial well-being

     A sizable estate

     A business

Life Changes — So Should Your Policy. 

As events happen in your life, your life insurance coverage may need to change to adapt to your current needs. Some life changes that may require you to reevaluate your coverage include: marriage, divorce, a new baby, purchase of a new home and retirement.

Types of Life Insurance

There are several different types of life insurance products available. The most common include:

Term Life Insurance

Term provides life insurance is protection for a specified period of time. If you do not currently have life insurance, term can be a good place to start. It’s generally less expensive than permanent life insurance, and is available in varying term periods. Furthermore, term insurance is sometimes convertible to permanent coverage, providing you with flexibility as your needs change.

Universal Life Insurance

Universal life is a form of permanent life insurance characterized by its flexible premiums, flexible face amounts and unbundled pricing structure. Universal life can build cash value, which earns an interest rate that may adjust periodically, but is usually guaranteed not to fall below a certain percentage.

Whole Life Insurance

Whole life is a form of permanent life insurance that remains in force during the insured person's lifetime provided premiums are paid as specified in the policy. Whole life insurance can build cash value.

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The Value of Life Insurance

Life insurance is a crucial step in planning for your future and the future of your loved ones. It can fulfill promises made to your family if you are no longer around by providing a death benefit to your beneficiaries in return for premiums paid to the insurance company. Life insurance can also provide benefits while you are living.
Advantages of the Death Benefit

Advantages of Living Benefits

The cash value growth of a permanent life insurance policy is tax-deferred, which means you do not pay taxes on the growth of the cash value unless the money is withdrawn exceeds the payments made.  Loans or withdrawals can be taken against the cash value of a permanent life insurance policy to help with expenses, such as college tuition or the down payment on a home.

Accumulated growth may be taxable upon withdrawal. If the policy is a Modified Endowment Contract (MEC), tax penalties may apply prior to age 59 ½. Consult a tax advisor on your specific situation.  Policy loans and withdrawals reduce cash value and the death benefit and may be subject to other charges outlined in the contract.
 

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