Life Insurance: Term Life, Whole Life and a full range of protection options
Life insurance is an indispensable and fundamental part of every sound financial plan. No other financial product can do what life insurance can do for you.
Term Life
Term Life insurance is like renting an apartment. When you rent, you own nothing at the end of the lease, but you had a place to live. When you buy term life insurance, it runs at a fixed premium for the term of time you have chosen. It will then increase for the next same term of time and so on for succeeding terms only to expire at a fixed age (i.e. 80 or 85). It’s an inexpensive way to get protection during a vulnerable time. You’re not accumulating any wealth but should you die during the term, your family is guaranteed to receive the amount equal to the coverage you bought – regardless of how much you paid into it.
Whole Life
Whole life Insurance is like buying a house. When you own, your expenses are higher, but it all belongs to you. When you buy Whole Life insurance, you are investing in permanent insurance that offers protection at a set premium for life. The insurance company manages your policy, and builds up the death benefit and cash value in a tax-advantaged setting.
Universal Life
Universal Life insurance is similar to Whole Life insurance, except you are in charge of managing the policy instead of your insurance company. You choose where to invest the money and gain or lose from the investment returns. The premiums are flexible in that you must pay between a minimum and a maximum amount at your discretion.
Mortgage Insurance
Mortgage insurance offers protection from your lender should you not be able to make your payments because of illness, injury or death. It is a Life insurance policy, that can include Critical Illness insurance and/or Disability with a fixed or declining balance of coverage.