Guide to Life Insurance
Life insurance is the foundation of a sound financial plan. It provides financial security for your family by protecting your financial resources, such as your present and future income, against the uncertainties of life.
More specifically, life insurance provides cash to your family after your death. This cash (the death benefit) replaces the income you would have provided and can meet many important financial needs: It can help pay the mortgage, run the household, send your kids to college, and ensure that your dependents are not burdened with debt. The proceeds from a life insurance policy could mean that your family won't have to sell assets to pay outstanding bills or taxes. What's more, there is no federal income tax on life insurance benefits.
Most people with dependents need life insurance. While there's no substitute for evaluating your specific situation, one rule of thumb is to buy life insurance equivalent to five to ten times your annual gross income. To determine how much, if any, life insurance you need, start by gathering all your personal financial information and estimating what your family will need after you're gone. Include ongoing expenses (such as day care, tuition, or retirement) and immediate expenses at the time of death (like medical bills, burial costs, and estate taxes). Your family also may need funds to help them readjust: perhaps to finance a move, or pay expenses while job hunting.
Choosing a life insurance product is an important decision, but it can be complicated. As with any major purchase, it is important that you understand your family's needs and the options open to you.
Here are some frequently asked questions (and the answers) from our Life Insurance FAQ (Don't hesitate to call or e-mailif you would like us to give you more details):
How much life insurance do I need?
What's the difference between term, convertible term, and whole life insurance?
What are the three types of permanent insurance?
How do variable and fixed annuities work?
How do accelerated death benefits work?
By using medical tests are insurers trying to eliminate any applicant likely to develop a serious health condition?
What should I consider in naming life insurance beneficiaries?
Does it make sense to replace a policy?
As a single person, do I need insurance?
I have the option of retiring early. How can I make sure to make the right decision?
What happens if I fail to make the required premium payments?
What if I become disabled and can't pay the premiums?
Are other riders available?
When will the policy be in effect?
Is a buyer's guide available?
If you would like a quote on your Life Insurance you may call us at the number below, e-mail us or go to our on-line Life Insurance quote form
