Life insurance is a crucial step in planning for your future and your family's future. It can fulfill promises and obligations to your family if you are no longer living.
The death benefit is income-tax free and can be used to cover funeral expenses, repay debt, provide education, pay estate taxes or any other expenses your survivors may incur.
Life insurance may also be used to help ensure that a family business will pass to your intended survivor. There are also benefits to certain types of life insurance plans during your lifetime.
This is a life insurance policy that provides coverage at a fixed rate of payments for a limited period of time, the relevant term. After that period expires, coverage at the previous rate of premiums is no longer guaranteed and the client must either forgo coverage or potentially obtain further coverage with different payments or conditions.
Whole Life Insurance is guaranteed to remain in force for the insured's entire lifetime, provided required premiums are paid, or to the maturity date. Because whole life policies are guaranteed to remain in force as long as the required premiums are paid, the premiums are typically much higher than those of term life, where the premium is fixed only for a limited term. Many also have a cash value at the end of the policy.