Reflecting back in our Lives we all have had loved ones and friends pass away, some naturally & others perhaps more suddenly. We never know what our future holds, so its important to be prepared for these circumstances. That's why making the decision to finally purchase Life insurance for you and your loved ones is amongst some of the best decision’s you will ever make.Choosing a Life insurance policy does not have to be that expensive or that complicated.
So let’s review some basics: Term Life Insurance is a simple pure protection benefit payable upon the insured's passing to their elected beneficiary. The term of the policy can be of your choosing or insurance needs such as 10, 20, and 30 years. Term life insurance is also the most affordable because it has no cash value at the end of its term.
Whole Life Insurance also has its benefits depending on your specific needs. It has cash value attached to it that grows over time. The cash value come from investments that may be attached to the bond or equity markets that the Insurance Company invests in. These financial tools have the ability to grow and also gain dividends with time, along with the policies pure protection, payable upon ones unfortunate death to the beneficiary. As cash value builds up some policies also allow an insured to even borrow or withdraw a certain amount upon retirement.
Universal Life Insurance also has a death benefit if the unexpected should happen. It can also help you accumulate cash value by crediting your policy with a fixed interest rate set by the insurance company. Some other universal life polices can also be indexed or ( IUL"s) which have the death benefit of your chosen needs, but can also be indexed to the markets for a potentially better accumulation of cash, without actually being in the markets for less market-based volatility. Universal life policies can provide options for your fixed or indexed strategy with a zero percent floor for less potential of loss, and can also still provide riders for children, Premium of waiver, Long term care and many more.
Choosing the right policy for you and your family can vary on many things like affordability and financial planning. We would also encourage you to think about what else you may leave behind such as a mortgage, auto or college loans which may create a financial hardship on your family upon your unfortunate passing. Life insurance can assist in leaving behind a legacy and provide for your family's Security.