Life insurance planning is not something often talked about. Most feel that paying off the house, sending the kids to college and living a long retirement is a great plan. But when the unexpected happens, life insurance planning can take care of the future. Here are a few options and descriptions for life insurance.
Term Life Insurance
A term life policy has premiums that remain the same for a specified period of time —generally for 10, 20 or 30 years. After the end of the level premium period, premiums will generally increase. Coverage continues as long as the premiums are paid. When on a more limited budget, this is a good option for some seeking coverage. You can often pay a lower premium when you select a shorter term — say, 10 years instead of 20. But since premiums are based on risk, once you are outside of the level premium period, a term life policy generally gets more expensive as we grow older.
Whole Life Insurance
Whole life is permanent insurance — you’re insured throughout your lifetime, or until the policy matures, as long as you continue to pay your premiums per terms of the contract. And those premiums will stay level as long as the policy remains in force. Over time, permanent insurance typically accumulates a cash value that can be accessed for a variety of purposes while you’re still alive.
Universal Life Insurance
Like whole life, universal life is permanent insurance that may also accumulate a cash value. It offers more flexibility, though. You can tailor a policy to meet changing priorities with flexible premiums and face amounts. Universal life also offers you more control over how quickly your cash value grows.
What’s the best coverage for you?
For a free life insurance consultation, call Tary Insurance today at (702) 363-0005. We’ll walk you through the process to find the perfect coverage.