Love Insurance
Life Insurance is one of those subjects that you try to avoid at all costs but deep down inside you know you need to have it. Let’s face it, we’re all going to go back to where we came from right? Nobody likes to talk about death but if you have a family that you love than it’s just one of those things you’ll have to get the courage to do. Why not leave a legacy for your family, after all Life Insurance is just Love Insurance.
There are several different types of Life Insurance policies you can have and several different companies that offer it. My recommendation before purchasing life insurance is to get a few different quotes and look at the financial strength of the company you are getting quoted from. A lot of times smaller companies will sell their book of business to another company who will then sell it to another company and before you know it, you don’t know who is insuring your life policy smh. I personally have all my life insurance policies with State Farm (and can give you a quote too!).
I’ll go over the 2 popular life policies available and my personal favorite:
The first life policy you can get is a Term policy. Usually these policies last 10, 20, or 30 years. Sometimes they are referred to as Mortgage Protection. These policies are great because they offer a lot of coverage for little to nothing. For example, I have a client who purchased a 30-year Term policy with a limit of $500K and only pays $32/month. Grant it, he is a younger client, 26 to be exact. Remember its recommended to get life insurance when you’re young and healthy so you can get similar coverage to my client above. If you have this type of policy, you may want to consider converting it to a whole life before you get any older! It’s worth getting a quote.
The only thing I’m not a fan of with Term policies is that at the end of term, coverage ends and now you’re 30 years older trying to get insurance. Not only will your premium be very high now, but you may not qualify for a high limit or a policy at all depending on your medical history. There’s a better policy, in my opinion, that lasts your whole life AND grows CASH that you can BORROW from as a living benefit. Which brings me to the second policy type, and my personal favorite, called a Whole or Universal Life policy. What I absolutely love about this policy is that it lasts forever, or at least until you’re destined for the afterlife. You know what else I love? If I’m ever in an emergency I can just go to my agent’s office and ask to borrow money right from my own policy. I can pay it back at my own leisure without any additional taxation.
This policy can be pricier than a Term because of the cash and forever components. I recommend getting a Whole/Universal policy at a lower limit, maybe $50K or $100K, depending on your family needs. To give you an idea I pay $90/month for a $125K Universal policy. It’s more than the $32 my client pays but when I’m 60 I won’t have to worry about getting covered. Also, the premium will never increase, only if I want to add more coverage.
If you’re interested in comparing your life insurance policy or getting a quote for life insurance please schedule a consultation with me, Your Favorite Insurance Agent.
