Life Insurance
Why Do I need Life Insurance?
People buy Life Insurance for the protection and peace of mind it offers. If something happened, could your family persevere without you? What about covering all the bills and the many other costs of life that would keep coming after you’re gone? And although nobody likes to think about it, it’s important to ask: What about the costs associated with a funeral?
We never know what will happen in life. None of us is guaranteed tomorrow—or even the remainder of today. However, with proper Life Insurance coverage, you can rest at ease knowing your loved ones will be protected as life goes on without you. Your mortgage will be paid. Your kids won’t be burdened with student-loan debt to pay for college. Your spouse will be able to maintain the same quality of life. That’s peace of mind you can’t put a price on.
There is, of course, no amount of money to replace the emotional loss of a loved one. However, proper Life Insurance coverage helps ease the many burdens of life after an unexpected loss.
When Should I Buy Life Insurance?
Purchasing Life Insurance is a big decision. We recommend it to all our clients. Why? You might be young and healthy now, but all of us are susceptible to the ravages of time. Anyone can develop an unexpected long-term illness—diabetes, cancer, multiple sclerosis, and the list goes on.
Such a chronic illness could leave you uninsurable. However, if you purchase a minimum amount of Term-Life Insurance now, while you’re healthy, you can guarantee yourself a life policy for the rest of your life—even if you develop a chronic illness.
Better yet, Term policies can be converted into long-term Life Insurance, including universal or Whole Life. The best time to buy Life Insurance is when you’re healthy—the younger the better. You’ll not only receive the best rates, but you’ll be locked into those prices for life. For example, if you purchased a policy at age 25, you’ll be paying the same rate by age 40, 50, 60 and beyond
In Business, As in Life
What would happen to your business if you lost a partner ora key employee? Shouldn’t you insure their lives in the event something happened? Key Man Life Insurance can help shield you and your business assets from risk.
Call A.G. Family Insurance, Southwest Florida, today for a free quote on an affordable Life Insurance policy. Or fill out our online form for a free, online Life Insurance quote.
A.G. Family Insurance: One agent, one call...one agency rooted in family.
What Are the Most Common Life Policies?
Term
Term Life is the least expensive form of Life Insurance. You can purchase Term Life at varying levels: 10, 20 and even 30-year-terms.
Most Term policies start at $50,000 in coverage and go up. The policy "benefit" is the amount of money you insure your life for. For example, you can might purchase a policy at a 20-year term level, with a $100,000 benefit. Your rate at inception is guaranteed for the life of the policy. It’s important to note, however, that you can buy certain Term-Life products that DO NOT maintain the same rate for the life of the policy.
Typically, at the end of a policy’s term, if you haven’t died, your paid premiums aren’t refunded. In recent years, however, Term Policies have become available with an optional, for-purchase rider. This special rider refunds the premiums, without interest, at term’s end if you haven’t died.
If you need the lowest premium possible, with maximum benefit, but no attached savings, Term Insurance might be your best option.
Universal Life
There are two types of Universal Life Insurance. Both types pay interest on the money you vest into the policy:
- Fixed – The interest rate on these policies remains the same throughout the life of the policy.
- Variable – The interest rate on these policies fluctuates or "varies" throughout the life of the policy.
Universal Life Policies begin paying tax-free interest immediately. With these policies, the premium increases as you grow older. If you don't increase the amount you pay over time, money you’ve previously vested into the policy will be used to pay the increased premium. The policy itself will eventually expire.
If you want a flexible policy, with coverage available in the short or long-term that can provide quick savings, a Universal Life Insurance policy is a great option.
Whole Life
Whole Life Insurance typically provides an investment for retirement savings, with attached Life Insurance. As such, money can be vested into these policies tax free. They generally include front-end fees.
In contrast to universal life policies, where money starts accruing immediately, Whole Life takes longer to accrue. You’ll need to pay the premiums for three-to-five years before you begin seeing returns.
These policies typically run until age 100, with rates remaining unchanged for the life of the policy. If you’re looking for a long-term investment with attached Life Insurance, Whole Life may be your best option.
When it comes to Life Insurance, there are so many options. A.G. Family’s on-staff life specialist can answer all your coverage-related questions. Each policy type includes its own unique benefits. At A.G. Family, we’d be thrilled to assist you with deciding which type is best-suited for you and your family. For a free financial review, call A.G. Family Life Insurance today.
Call A.G. Family Insurance, Southwest Florida, today for a free quote on an affordable Term, Universal or Whole Life Insurance policy.. Or fill out our online form for a free online Life insurance quote.
A.G. Family Insurance: One agent, one call...one agency rooted in family.