What is permanent life insurance you say? Permanent life insurance is something that is good to have to take care of final funeral expenses as well as any outstanding debts. In addition, permanent life insurance can help the policy holder earn monies over a period of time that increases the original face value of the policy. The main reason most people take out a permanent life policy is to cover death expenses and to make sure family members are taken care of in the event death occurs.
BENEFITS OF PERMANENT LIFE INSURANCE
The policy holder can also borrow against their life insurance policy if they have an emergency situation arise. The insurance agent/ broker can explain how the process works at the time the policy is taken out.
Permanent life insurance quotes online are available from a variety of insurance companies. Many life insurance companies have web sites that enable a person to get insurance quotes within a matter of minutes. In this case, Pacific Insurance Group can quote you a policy in a matter of seconds (see above). Insurance quotes can be obtained by simply entering some very basic information online.
A permanent life insurance quote is normally determined by the age of the person, the general health of the person and weather or not the person has an existing insurance policy. A term life insurance policy can always be converted to a permanent policy through your broker or agent.
Permanent life insurance is insurance that increases in value over a period of time. The policy holder can earn monies that can be borrowed if needed. Basically the original face amount of the permanent life policy will grow over a period of time. A policy of this nature can earn the policy holder a substantial amount of cash over time. Therefore, permanent life insurance can provide additional security and peace of mind for the policy holder and their loved ones.
PERMANENT LIFE INSURANCE COST
Permanent life insurance unlike term life insurance can be quite costly. Permanent life insurance is much more expensive than traditional term life insurance however it provides the policy holder with a greater benefit over a period of time. Term life insurance value does not increase over a period of time. For example, if the original policy was for $50-k, that is all the beneficiary of the policy would be paid if the policy holder passed away.
TYPES OF PERMANENT LIFE INSURANCE
Variable life insurance is life insurance that carries an investment benefit. This type of policy has cash value that can be invested. The earned investment benefit can be invested in different type of accounts. Variable life insurance act very similar to a mutual fund investment.
Universal life insurance is a flexible type of life insurance which offers a savings benefit. In addition, Universal life insurance is less expensive in comparison to Universal life insurance. The fact that Universal life is a bit less expensive in comparison to other permanent life policies makes it a very popular choice among new policy holders.
Variable Universal life insurance does offer a cash value to the policy holder as well as any beneficiaries. In addition, the policy offers the usual death benefit payout as well as an investment feature. Investment features make a life insurance policy much more attractive to consumers.
Permanent life insurance quotes are available to anyone online or directly through an insurance agent/broker. Many factors are taken into consideration when determining a permanent life insurance quote. A physical examination may be required for new policy holders. However, the insurance agent will take care of all the details concerning the physical and blood work that may be required.
Once an application for permanent life is complete it may take up to 30 days to receive approval. Keep in mind each case is different and each case is viewed on an individual basis. If the applicant has any existing health problems the insurance premium payments will more than likely be higher. A complete medical history is taken into consideration for anyone applying for permanent or term life insurance.
If an existing health condition exists such as heart problems, previous cancer surgery or treatment, the applicant is considered a higher risk and the rate and premium payments are adjusted accordingly. In some cases, the insurance agent-broker may contact the applicants physician for more detailed information about the applicant.
Permanent life insurance is something that provides great benefits to the policy holder. The ability to have substantial life coverage with a saving and investment benefit is a big plus to anyone. In most cases, insurance policy holders always consider the loved ones or family members who will handle their financial affairs once the person passes away.
Some life insurance companies do offer competitive rates. Life insurance companies such as Allstate, State Farm, Mutual of Omaha and USAA currently offer exceptional permanent/whole life insurance policies to anyone who qualifies for this type of coverage.
Some insurance companies will give a customer a better rate if they have other types of insurance with the same company. For example, if a customer has homeowners insurance with a particular company they will more than likely receive a better rate on a permanent life insurance policy.
As long as premium payments are made on time the permanent life insurance policy remains in effect. In addition, any benefit or saving element the existing policy offered remains unchanged. The insurance agent/broker should send the customer periodic statements which illustrate any policy growth or monies earned since the policy went into effect. An permanent life insurance policy can actually serve as a “nest egg” for the policyholder and the beneficiary.
Insurance agents have said that the best time to secure a life insurance policy is when the person is young and healthy. As a person ages they are normally subjected to more health problems and illness. Health conditions and illness will certainly affect insurance premiums in the future.
WHO NEEDS LIFE INSURANCE?
The future may be the least of your concern at this point because you’re young and expenses are low. But practical people do things this way – they make a sensible decision on how to prepare for their future as early as today. By doing so, they can be certain that they have ample cushion to work with once the inevitable comes.
If you’re one of these people described below, it makes sense to invest in a life insurance policy that will cover your needs in the most unexpected situation.
Being a breadwinner in the family places a massive responsibility on your shoulders because your loved ones depend on you for their needs. During your untimely death, your family may be overwhelmed by the expenses waiting to be settled – your burial costs, mortgages to be paid, and the basic needs to be met. If you have a life insurance policy, this can be used to pay existing debts and even your burial plot. Thus, if you look at it this way, your love for them continues long after your passing.
Married With or Without Children
Now that you’re no longer living for yourself, your partner and/or children give you more reasons to be smarter with your finances. Whether you make more or less money than your spouse, investing in a life insurance is a practical decision worth making. After all, you want to make sure that your surviving spouse and children will be able to sustain their standard of living and pay off existing debts. Even if you don’t have kids right now, once they do come, you’ll be more prepared to manage your expenses by having a life insurance policy.
You see, at any phase of your life, a life insurance policy can secure your future. What’s important for you to do right now is to select the appropriate coverage that matches your situation to get the most out of your policy.