Term Life Quote

There are two types of life insurance, term and permanent.  Term insurance can provide low-cost coverage for a specific period of time (the “term”)—most likely during an individual’s peak earning years when death can cause the greatest financial hardship.  Generally the most affordable type of insurance when initially purchased, term insurance is designed to meet temporary needs.  It provides protection for a specific period of time (the “term”) and generally pays a benefit only if the insured dies during the term.  This type of insurance often makes sense when someone has a need for coverage that will disappear at a specific point in time.  For instance, they may decide coverage is only needed until children graduate from college or a particular debt is paid off, such as a mortgage.

If someone buys a term policy and then later realizes they still have a need for life insurance, they can either renew the term policy or (depending on the insurance policy’s rules about conversion) convert it to a different type of policy.  If, in 10, 15 or 20 years someone is still healthy according to the company’s standards, they might re-qualify at a reasonable rate.  But if their health has deteriorated, they may find that it’s too expensive to renew the policy or may not even re-qualify.

So, when considering a term policy, be sure to carefully consider your needs and how they may evolve, financially, down the road.  If your needs will remain temporary, then term insurance may be right for you.  But, if you think there’s a possibility that you might need the coverage for a long time, then remember that renewing your term policy after it expires or buying a new term policy at that time, may make coverage more expensive due to your age, health status or other factors.

Permanent Life Quote

Unlike term insurance, which addresses more temporary needs, permanent life insurance is designed to provide life-long financial protection.  Because permanent life insurance policies are designed and priced to keep over a long period of time, this may be the right type of insurance for you if you have a long-term need for life insurance coverage.  Permanent insurance is generally a catchall phrase for a wide variety of life insurance products many of which include a cash-value feature.  Within this class of life insurance, there are many different products, including whole life, universal life insurance and indexed universal life insurance.

Despite what many people may think, the need for life insurance often remains long after the kids have graduated college or the mortgage has been paid off.  If you died, your spouse would still be faced with daily living expenses.  And if your spouse outlives you by 10, 20 or even 30 years—would your spouse be able to maintain the lifestyle you worked so hard to achieve, without the death benefit of life insurance?  Would you be able to pass an inheritance on to your children or grandchildren?  These are questions to consider carefully when determining what type of life insurance fits your needs.  There are a lot of opinions about what type of life insurance you should purchase, but after people do the research, they see the value in both term and permanent and frequently have a combination of the two.

If you need help discussing your situation for life insurance, you can contact me directly at chris@miglifeinsurance.com or (877) 977-0157

It is impossible to know when a tragedy is going to strike you or your family. In the blink of an eye, there could be a devastating accident, sudden illness, or any other type of misfortune that you were not expecting. With this in mind, one can see the need to have disability insurance. This will allow your life to go on in a somewhat normal fashion while you are unable to work.

The premiums for this type of insurance are going to vary by your income, age, type of employment, and the various policy provisions you choose. It is safe to say that the more coverage you choose to enroll in, the higher your premium will be. Below is everything you need to know about getting the right amount of coverage at an affordable price.

CHOOSING THE BENEFIT AMOUNT

The vast majority of disability insurance on the market will typically pay up to 80% of your income should you become disabled. This type of coverage is designed to ensure that you have an adequate amount of income if you are unable to work.

The Terms Of Benefits

You can decide to choose a benefit that is going to pay for one year, two years, five years, 65 years old, or until death. Of course, the longer your benefits are expected to last, the higher your premium payment is going to be.

The Elimination Period

The elimination period is the amount of time from which you became disabled to the time you start receiving benefits. If you are looking to save money, you can choose to wait a longer period before your benefits begin. Typically, the average wait is 90 days, but some policies will allow between 60 days and two years, depending on your needs and wants. If you are expecting paid sick time from your employer, it is best to consider this in your elimination period.

Non-Cancelable Policy

Once you have been approved by the insurance company they will issue the policy non-cancelable, which means it can not be canceled unless they stop covering everyone in your occupation. In addition, the company can not raise your premiums. However, this type of policy is going to have a higher premium.

Guaranteed Renewable

In the case of a guaranteed renewable policy, it can not be canceled, but the insurance company can raise your premium if they raise it for the entire class of policyholders. The premium rate for a guaranteed renewable policy is typically much less than that of a noncancelable policy.

Any Occupation Or Own Occupation Coverage

Having Own occupation coverage means you will receive benefits when you are unable to work in your specific occupation. Professions such as dentists, lawyers, and physicians will choose this type of coverage. The “any occupation” coverage requires that you work in an occupation for which you are reasonably educated and trained in to receive benefits. The Own occupation policy will be significantly more expensive than those that only consider you disabled if you can not work at all.

Employer Coverage

Most employers in the workforce will offer their employees some form of disability income, sick pay, or a group disability policy. It is wise to talk to your employer to understand what benefits are provided to you and when they come into effect after becoming disabled. In addition, many employers will allow you to purchase more insurance at your own expense. Choosing to purchase additional coverage in this manner is generally less expensive than buying an individual policy.

It is also important to realize that the IRS makes a distinction between the coverage you purchase and that which is provided by through your employer. If you purchase your own policy and pay the premiums, the benefits are not taxable. However, if it is through your employer, your benefits will be taxed as income. One final consideration with individual coverage are known as COLA (Cost of Living Adjustment) riders which will increase the benefit payments and provisions once you are disabled without the need for evidence of insurability as your income gains over the years.

It is best to discuss your particular situation with a certified CPA to decide which structure would be best for your needs and situation. If you need help discussing your situation for life insurance, you can contact me directly at chris@miglifeinsurance.com or (877) 977-0157

If anyone turns you down for life insurance, look somewhere else. Companies look at a whole host of information and utilize a variety of methods to vet who they will insure. Just because one provider turns you down, you shouldn’t assume another provider will come to the same conclusion.

If you need help discussing your situation for life insurance, you can contact me directly at chris@miglifeinsurance.com or (877) 977-0157

Generally, an insurance agent will help you determine an appropriate coverage amount for the policy by examining some of the key costs your family will have in years to come, such as the cost of child care, education and the mortgage.

Another approach is to figure out how much income you’re expected to earn over your lifetime, while it might be tempting to think of life insurance in terms of a dollar amount, it makes more financial sense to tie that amount to a goal, like paying off a mortgage or college tuition.

If you need help discussing your situation for life insurance, you can contact me directly at chris@miglifeinsurance.com or (877) 977-0157. Every client is different and we help you figure out the right policy to suit your needs. We have multiple products from multiple providers and we will guide you towards a solution that meets your specific needs.

Term life insurance generally is less expensive when you are younger and in relatively good health. That’s not generally the time in life when most of us think about buying term life insurance, but actually, that’s the best time to save money. Waiting until later in life when you’re a bit older and maybe dealing with some medical issues can drive up your premiums and may even prevent you from buying term life insurance at any price.

If you need help discussing your situation for life insurance, you can contact me directly at chris@miglifeinsurance.com or (877) 977-0157