Define Whole life insurance, the details.
What is Whole Life Insurance?
Whole life insurance is exactly what the name says it is, life insurance for your whole life. It doesn’t matter how short or how long you live, whole life insurance will pay the full face amount of the policy to the beneficiary whenever the policyholder dies. One way to define whole life insurance, is it’s life insurance you keep your whole life. Another way to define whole life insurance, is it’s life insurance that builds cash value while providing permanent lifetime life insurance coverage.
How does whole life insurance work?
You pay a monthly premium to the insurance company and in return the insurance company will pay out a fixed amount of money to your loved ones when you die You choose how much money you want the policy to pay out, but the higher your coverage, the more you’ll pay in premiums.
Whole Life Insurance is designed to provide?
Having a whole life insurance policy in place can provide you with the piece of mind knowing that when you pass away your family will have the necessary funds available to take care of your final expenses. Some common reasons for buying a whole life insurance policy include: leaving a lump sum to help pay for the care of a loved one or to pay off loans or other debts owned. One of the main reasons people choose whole life insurance over any other types of life insurance is because its guaranteed to pay out no matter how long you live.
Is Whole Life Insurance a good Investment?
Whole life insurance builds cash value that typically earns a guaranteed rate of 4%. The cash value grows tax free and can be used to supplement retirement, help pay for college educations for our children or to pay off a mortgage early. For conservative investors whole life insurance is a good, safe, guaranteed option. Whole life insurance policies provide savings while protecting our families with life insurance. For many people it’s a forced savings that they wouldn’t have had without a whole life policy.
Universal Life Insurance vs Whole Life
Universal Life Insurance is permanent life insurance that builds little or no cash value. Whole life insurance is permanent life insurance that builds cash value. Whole life insurance cost more than universal life insurance because it builds cash value that can be used as a safety net to cover emergencies or to pay premiums if you’re ever unable to, due to financial difficulties.
Term vs Whole Life Insurance
Term life insurance is temporary life insurance and whole life is permanent life insurance. So which is better whole life insurance or term? Younger individuals generally go with term life insurance policies because it cost much less than whole life policies do. While they’re raising a family term life insurance provides the amount of coverage they need for an amount they can afford. As they get older and they want a policy that will not expire, whole life insurance is life insurance you keep.
Which is better Term and Whole Life Insurance?
Life doesn’t come with any guarantees, that’s why there’s life insurance. Life insurance can help provide financial security for the people you care about when you are gone. If you pass away, a life insurance payment can help your loved ones cover medical bills, funeral costs, mortgage or rent, college tuition, and many other living expenses. Life insurance policies typically fall into two categories: term insurance or permanent insurance. Which type of life insurance policy is right for you? A term life insurance policy is like renting a home. You choose the length of time – the ‘term’ of the policy – and the amount of coverage, and your payments stay the same until the end of your term. Once your term policy expires, you may have the option to renew your policy with higher premiums or apply for a new life policy.
Some life insurance companies allow you to convert to a permanent policy. A permanent life insurance policy is more like buying a home. It offers lifelong protection, the ability to build cash value, and the flexibility to adjust your policy if needed. With each payment you make to a permanent life insurance policy, part of your premium goes toward insuring your life, and part goes toward building cash value… that can be used to take out a loan, make a withdrawal, or even skip a payment. Loans or partial withdrawals can reduce the policy’s cash value and death benefit, increase the possibility of policy lapse and may result in a tax liability. If you have questions about which life insurance policy is right for you, contact us today at 1-800-657-7178.
How much does Whole Life Insurance cost?
Whole life insurance rates are based on your age, gender, smoker or non smoker, and your health. Because whole life insurance rates are based on your age, the younger you are when buy a whole life insurance policy the less it cost. Whole life insurance is on sale now compared to any other time in your life because you’ll never be any younger than you are today. Many people put off buying life insurance until they get older because they don’t think their going to die while they’re young, and that may be right, but if their not insurable when they get older it may be impossible to get as much life insurance as they need. Whole life insurance quotes are provided by completing the short form above.
Whole Life Insurance No Medical Exam
For policy amounts of $50,000 or less there is no exam required to obtain a simplified issue whole life insurance policy. Just answer a few health questions and the policy can be issued if you qualify. If you haven’t had any major health issues in the last 2 or 3 years, you should qualify.
Guaranteed Whole Life Insurance
Guaranteed whole life insurance is know as guaranteed issue life insurance. Guaranteed issue policies are issued to people ages 50 to 80 years old. There are no health questions to answer so everyone is approved no matter how bad their health is.
Call 1-800-657-7178 to receive a quote for life insurance everyone age 50 to 80 can buy.
To Recap or Define Whole Life Insurance
How long do you plan to live? Long enough to check off every adventure on your bucket list and then start another one? That’s why there’s whole life insurance, so you can follow your dreams for your whole life without worrying about how your family will get by without your financial support. Unlike term insurance, whole life is permanent insurance, so it can cover you for– your whole life! Whole life policies guarantee that the amount of life insurance coverage you buy at the start of the policy remains the same throughout your lifetime—as long as the planned premiums are paid.
The cost is fixed, based on your age when you buy it and doesn’t increase. Some of the money you pay into Whole life insurance builds cash value that’s guaranteed to increase. Like equity in a home, cash value can be borrowed or withdrawn if you ever need it. And many whole life policies offer the opportunity to earn even more – through dividends or other credits. Most policies allow these earnings to be taken in cash, used to buy additional life insurance, or to help reduce the amount you might pay out of pocket to fund the policy. Take John and Julie, for example. They wanted a guaranteed death benefit they can count on for the rest of their lives. They also wanted safe and steady cash value growth, and premiums that never go up. And they really like the option some policies offer that allows them to access the coverage amount early if they become chronically or terminally ill.
They just don’t want to be a burden on anyone…especially each other. And when they learned about the dividends or excess credits they can receive from the policy, they talked about cashing them in down the line to pay their last couple of car payments… but finally settled on using the extra money to reduce their future premium payments. This way they can enjoy full coverage and reduced payments. For people with simpler needs, policies can be set up for lower coverage amounts and designed to cover the bare essentials like burial and other final expenses. With whole life insurance, the money paid out at death usually doesn’t go through probate court and is income-tax free, so your loved ones receive the money without delays, taxes, or extra legal costs.
Whole life insurance quotes are provided by completing the short form on the quote engine above. We provide the free whole life insurance quotes so you can see which company will offer you the best whole life insurance rates. To learn more about whole life insurance or to find out if it’s right for your situation, call us at 1-800-657-7178.
Life Insurance typesFinal Expense Life Insurance
No Medical Exam Life Insurance
Universal Life Insurance
Whole Life Insurance
Term Life Insurance with Living Benefits
Indexed Universal Life Insurance
Guaranteed Life Insurance
Second To Die Life Insurance
Mortgage Life Insurance
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