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Life Insurance...
It's not for those that die, it's
for the ones that live. If the unimaginable happens, life insurance will help
ensure your family has a roof over their heads, the bills get paid and the kids
still make it through college.
What are the principal types of life
insurance?
There are two major types of life
insurance - Term and Whole life. Whole life is sometimes
called permanent life insurance, and it encompasses several
subcategories, including traditional whole life, universal life,
variable life and variable universal life. In 2003, about 6.4
million individual life insurance policies bought
were term and about 7.1 million were whole life.
Term Life
Term Life Insurance
is the most straight-forward type of life insurance and
the easiest to understand. Term life insurance offers
the most affordable life insurance coverage for
your family. It is one of the best values in the entire financial
services arena. Where else can you go and get hundreds of thousands
of dollars in protection for literally pennies per day?
Why Term Life Insurance?
The purpose of term life
insurance is to be sure that if you die, your debts will
be paid, your dependents can continue to live in their current
lifestyle, and if you have a family, their home and medical expenses
are provided for and your children’s education is guaranteed.
Term life insurance offers the opportunity to get the most
coverage for the lowest cost for a given period of time.
There are two basic types of term life insurance
policies -
level term and decreasing term.
- Level term means that the death benefit stays
the same throughout the duration of the policy.
- Decreasing term means that the death benefit
drops, usually in one-year increments, over the course of the
policy's term. Level term
life insurance is more common and enables you to meet long
term obligations.
Decisions
There are three key considerations when purchasing term
life insurance:
- The face amount - how much protection do you
need?
- Premium - how much can you afford to pay for
protection each month?
- Length of coverage - how long do you need
to maintain coverage?
Term life is often referred to as temporary insurance.
A term life policy will only pay benefits if you or a loved one
passes during the time you're covered. You can decide on the number
of years you wish to have coverage in place and pay the premiums
for that term.
Cinergy Health offers many options so
that you can find a term life policy that meets your family’s
needs. You can select a face amount from $10,000 up to $300,000.
The term of coverage may be 10, 15, 20 or 30 years depending on
your age. The premium
rate is guaranteed to remain level for the full initial term at
time of issue. There are even riders that provide a return of
premiums, coverage for
your children as well as other options.
Unlike permanent life insurance term life
insurance does not accumulate cash surrender value, which
means if you do not die within the time you're covered, your estate
does not collect any money from the policy when it ends. However,
some companies, like Cinergy Health, will offer conversion privileges to permanent policies,
which means you can turn your term life policy into a "permanent"
policy. With permanent policies, a portion of your premium goes
to building cash value with interest. It is important that you
consider your needs carefully along with the options available
to you before you purchase your term life insurance policy.
With one simple phone call Cinergy Health
will provide you with instant term life insurance quotes in a
matter of minutes. There’s no confusing paperwork, no physical
exams and no long waiting periods. Simply fill out the term life
insurance online quote form and we’ll call you with the
lowest rates from A rated carriers. |
