Low Insurance Blog » Life Insurance

Should I Get Term or Whole Life Insurance

Cole J — Mon, 25 Jan 2010 17:04:07 +0000

Life insurance is a subject that comes up for those starting new families to others who already have kids in college. Regardless of which category you fit in, the question that may have brought you here is, what will happen to my loved ones if I happen to die today or tomorrow? The first step to understanding which life insurance policy is best for you is to first understand the difference between Term and Whole life insurance.

Term Life Insurance

A term life policy is only active during a limited time frame which you have to select. Rates on a Term policy are generally very low compared to that of a whole life policy. These policies do not carry any “cash surrender value”. This policy pays only if the insured dies within the term period. The younger and healthier you are, the lower your life premium will be. As you get older or develop health conditions, these rates can increase. If you happen to live longer than the term you’ve selected then the policy will need to be renewed yet the premium will likely increase. Term life policies may last anywhere between 5 years and 20 years. The premium will also increase with the length of the term.

Whole Life Insurance

The nice thing about a whole life policy is it’s intended to protect you and your family for your entire life span. This type of policy will also build monetary (cash) value which may be withdrawn. The younger you are when put a policy in place, the better off you will be regarding your monthly premium. A payment will be guaranteed to the family upon the death of the insured.

Where a half million term policy may cost $30 a month, a half million whole life policy may cost around $150 a month. This is just a rough estimate of the cost difference between a term life insurance policy and a whole life policy. Many factors come into play. It is recommended that you speak with a local agent who can assist you with which policy is best fit for you. You can get in touch with a local Agent simply by requesting a life insurance quote for the type of policy you orignally had in mind. Once you receive a quoted premium then the Agent will have most of the information needed to go ahead and run quotes on any other life policies that you may have an interest in after discussing other options or ideas with the Agent.

Life insurance for family or business

Cole J — Thu, 28 Aug 2008 04:04:40 +0000

Life insurance protects your family or business from financial risk in the event of premature death. Financial risks covered may include burial expenses, debts owed, loss of family income and business profits. Annuity is a guaranteed income for the life of the one covered. This coverage is designed to protect you from running out of financial resources due to living too long.

Examples of Insurable Life Insurance Interests

Sally would like to take a life insurance policy on her mother to ensure all funeral costs and debts can be covered when that time comes. During a loss of a loved one, financial stress should be the last thing you should have to worry about.

Tom is a soul provider for his wife and kids. His wife is currently a student in her first year of nursing. Tom wants to take out a life insurance policy on his own life to ensure his wife can continue her studies and the family can be financially secure for a set amount of time in the event of his premature death.

Samantha wishes to take a life insurance policy out on her top sales agent to protect her business from a drop in sales in the event of a salesperson’s death.

Occupation Matters:

When applying online for a life insurance quote, one question that will be asked is what you do for a living. Basically they want to know how much risk your occupation presents. I came across this very old photo of someone working on a sky scraper and thought it would be a good addition to this post. Could you imagine what their rates may have been?

Lower Life insurance Rates

Cole J — Tue, 20 May 2008 05:44:09 +0000

Just like every other insurance coverage available, insurance rates are based on the risk of the insured. For low life insurance rates, the very best thing to do is get active. Joining your local gym or starting an exercise routine is the best first step you can take to saving more on life insurance rates. This same routine will also benefit your health insurance costs as well (lower risks).

Life Insurance Quotes

When getting quoted for life Insurance, the agent will take age, height, weight, smoking status, health history, and other health factors into consideration. It is never too late to start living healthy. With the right motivation to start exercising and eating right, you can avoid many health issues throughout life which will result in many benefits including lower life insurance rates.

What is your Personal Life Goal?

My personal Life goal isnt only to live to 100 years old. Who wants to live that long if once a month from the age of 90 you need to make a visit to the emergency room. The goal is to live a long healthy life. Being able to get around easily as we grow older is very imporntant. Nobody wants to grow to be more dependant on Family or wheelchairs.