life insurance Archives - Page 3 of 27

Who Needs Life Insurance the Most?

Life insurance is one of those things that you know is a good idea but is also easy to forget about or put on the back burner. Having a policy is a necessity, though, for everyone from those who are just starting out in life to retirees – it’s just that your needs are different. But exactly which group or life stage needs it the most?

The Need for Life Insurance

When it comes down to it, it’s not about your age when it comes to life insurance. It’s about who is in your life. If you have a spouse or partner, children, or a business partner, you are in the group of people that has the biggest need for life insurance.

As we already said above, life insurance is a necessity no matter what stage of life you’re in. But this is especially true if you have anyone who relies on you financially. Even if you think you don’t need a policy because you’re young and healthy, or if you don’t think that the cost is worth it, you need to consider the financial consequences of your death on your family. They have to pay for your funeral services, your debts, and any other bills that they relied on you for.

And what if you’re older and retired with grown children, but a partner still living? You’ll still be in the group that has a high need for coverage. Remember, your partner will still have expenses after you are gone, including your final expenses and any medical debts that you leave behind.

Your loved ones can use the proceeds from a life insurance policy in a variety of ways, including:

Covering funeral and burial expenses
Paying off any outstanding debts owed by your estate
Creating a supplemental source of income for your loved ones
Helping with college expenses for children or grandchildren
Providing a nest egg of savings for a spouse’s financial needs

Types Of Life Insurance

It’s clear that anyone who has someone who relies on them financially is in serious need of life insurance, but the type of policy that is best for your life stage or situation will vary. You should look into the following types of policies:

Whole Life Insurance

A whole life insurance policy remains in effect for the entire life of the policyholder, as long as you keep up with the premiums payments. With this type of policy, premiums will remain the same throughout the life of the policy and will not increase for any reason. One of the best things about this type of policy is that it has a cash value component. Meaning your policy will build tax-deferred cash over time at a guaranteed rate of interest.

Whole life insurance is best for people who want a longer policy with a cash value that they can borrow from. So one of these policies might be right for you if you’re younger and have children who will one day go to college, since you can borrow money from your policy. Be aware that you must undergo a medical exam to qualify for a whole life policy, and that these policies are more expensive than term-life policies.

Term Life Insurance

Term life insurance is one of the most affordable types available. But these policies only cover you for a limited period of time (or term), generally anywhere between 5-30 years. This type of policy is best for people who want affordable coverage for large expenses such as mortgage payments, college tuition, and other debts, usually those who are younger or middle-aged and want to be able to replace income in case of an unexpected death. One of the great things about term life is you can convert your policy to permanent life insurance before it expires without having to go through medical underwriting again.

Final Expense Insurance

Final expense insurance is generally bought to cover funeral expenses, burial expenses, and any other medical debts you may have. There is no medical exam required, and it is relatively affordable, but the death benefits are usually capped at $35,000. These policies are great for older people or those in poorer health, who might have difficulty getting another type of policy, but still want something to help their loved ones cover their final expenses.

Joint Life Insurance

Joint life insurance will provide coverage for both you and your partner. You can choose from a universal or whole life policy. But the death benefit is usually not paid out until both policyholders have passed away. A lot of couples will choose this option because it is cheaper than purchasing two separate policies. And the underwriting and rates are based on the younger and healthier partner.

How Much Coverage Do You Need?

To determine how much coverage you need, you’ll have to take into consideration two major factors:

Income replacement – Decide how many years of income you would like to replace for your family, then take that number and multiply it by your annual income.
What will need to be paid off – Add up all the debt that you currently have, including mortgages, credit card debt, bank loans, and any other debt. Once you’ve calculated that amount, add it to the income replacement amount.

Looking For A Life Insurance Policy?

Whether you are young or old, it’s important to consider life insurance to protect your loved ones and your assets. And it doesn’t matter if you are in your 20s or 50s. There are many great affordable policies to choose from that will provide enough money for your family. The best way to find the right life insurance policy for you and your specific needs is by working with an agent who specializes in life insurance. We have provided the top life insurance companies in the nation below; each offers hassle-free assistance and the most competitive rates. Always check multiple sites to make sure you have bargaining power and know the advantages of each company. Make sure a hard time isn’t made harder by a financial burden, check life insurance rates today.

What to Expect from Your Life Insurance Medical Exam

Depending on the type of life insurance you apply for, you might have to undergo a medical exam. For example, permanent life insurance policies and term life insurance policies typically require medical exams. If you do have to undergo a medical exam, the results will determine if you qualify for a policy, and how much you will pay for your monthly premium. So, what does the medical exam include and what results are insurers looking for exactly?

Paramedical Exams

A life insurance medical exam, also known as a paramedical exam, is part of the underwriting process. The underwriting process is how life insurance companies determine how much of a risk you are to insure. They use an exam as part of this process because the healthier you are, the less of a risk you are to insure, and so the less you will pay in monthly premiums. But if the results of your exam are concerning, you will have higher monthly premiums, or may be denied altogether.

What Does the Medical Exam Include?

The medical exam will typically include:

A survey about your health, medical history, and lifestyle
A check of your pulse and blood pressure
A blood test
A measure of your body mass index (BMI)
A urine sample
An EKG (in some cases)

These exams do not have to be an inconvenience. Many life insurance companies will offer to send a medical examiner to your home. And they can generally conduct the exam in 30 minutes or less.

What Your Insurance Company Is Looking For

While each insurance company looks at different health conditions differently, there are some constants in what insurers are going to look at. Typically, they will be looking at the health of your heart and arteries, kidney, bladder, liver, and pancreas. The exam will also show if you have HIV or drugs in your system, which can negatively affect your chances of qualifying for a policy.

No-Medical Exam Life Insurance

woman with brown hair and light blue shirt standing in front of a white wall with a hand with index finger raised — *With these plans, you will not have to undergo a medical exam!*

If you are worried that you won’t pass a medical exam, or that you will end up paying a lot for life insurance, guaranteed issue, simplified issue, or instant-approval term life insurance policies are great options. With these plans, you will not have to undergo a medical exam, and will not have to provide blood work or any other tests. Insurers cannot disqualify you for these policies for any health-related reasons.

In addition, with a no-medical exam life insurance policy, you will also get instant approval. On the other hand, when you sign up for a life insurance policy that requires a medical exam, you will have to wait between 4-6 weeks after applying to find out if you qualify.

Need Help?

Don’t be put off by the thought of a medical exam! They’re generally fast, convenient, and nothing to worry about. And remember, if you pass away without life insurance, your loved ones may be left to deal with a large financial burden. They would have to pay for your funeral expenses, which are on average $10,000. As well as other bills they have relied on you to help with, such as a mortgage or college tuition. However if you are unsure whether you would pass a medical exam, a no medical exam life insurance policy can help you get the coverage you need to protect your loved ones.

The best way to find the right life insurance policy for you is by working with an agent who specializes in life insurance. We have provided the top life insurance companies in the nation below; each offers hassle-free assistance and the most competitive rates. Always check multiple sites to make sure you have bargaining power and know the advantages of each company. Make sure a hard time isn’t made harder by a financial burden, check no medical exam life insurance rates today.

Do I Need Life Insurance if I Don’t Have Dependents?

If you’re single and have no children, you’re not alone in thinking that life insurance is not a necessity for you. But even if you don’t have anyone who financially depends on you. There are a lot of reasons why life insurance is important. Not only do situations change over time, but if you wait until you’re older to purchase a life insurance policy, it will cost more than it would if you were to purchase one right now!

Why You Need Life Insurance Even if You Don’t Have Dependents

You Might Have Dependents One day

Life is full of unknowns, including where your future will take you. Just because you don’t have any dependents now doesn’t mean you won’t later on in life. If you meet that special someone, and get married and decide to have children later in life, you will need to consider a life insurance policy. When it comes to life insurance, it’s generally best to think about the future, rather than your present situation.

You Want to Help with Your Funeral Expenses

Even though you might not have any dependents, someone in your family is going to have to be financially responsible for your death. On average, a funeral can cause around $15,000. Which is a lot of money to expect your family to take on in the event of your passing. Having a life insurance policy, even if it’s a basic one such as a final expense life insurance policy, can ensure that these expenses are covered. So no one in your family has to be financially burdened with the costs.

You’re a Family Member’s Caretaker, or Might Become One

As parents or grandparents age and potentially become ill, one of their children/grandchildren will often take on the responsibility of taking care of them. This can include cleaning the house, cooking, helping pay bills, and doing any number of household chores. If you are or might end up in this situation, and something were to happen to you, everything that you did for your parents would have to be done by a nurse. Which could cost your family money they might not have. Having a life insurance policy would provide your family members with enough money to get the care that they need.

You Have Other Potential Beneficiaries

Just because you don’t have any dependents, doesn’t mean that you don’t have possible beneficiaries. It could be anyone in your life that could benefit from a life insurance payout. Like your parents, siblings, or anyone else you choose to leave money to.

Finding the Right Plan

A life insurance policy is the right choice for everyone, no matter if you have dependents or not! But if you’re not sure which policy is best for you, your best bet is to compare policies from different companies. There are many great affordable life insurance options to choose from that will provide enough money for your beneficiaries, for a low monthly price. The best way to find the right life insurance policy for you and your specific needs is by working with an agent who specializes in life insurance.

We have provided the top life insurance companies in the nation below; each offers hassle-free assistance and the most competitive rates. Always check multiple sites to make sure you have bargaining power and know the advantages of each company. Make sure a hard time isn’t made harder by a financial burden, check life insurance rates today.

Signs It’s Time to Buy Life Insurance

It’s easy to put off making plans for the end of your life, especially when you’re young. After all, thinking about your own mortality probably isn’t your idea of a good time! In fact, many young Americans don’t have or even think about life insurance unless it’s offered by their employer – but these policies are often inadequate. And what many people don’t realize is that life insurance is definitely something you want to get sooner rather than later, since when you get it will affect your rates and benefit amount. Not sure if it’s the right time for you? There are some simple signs that it is time to buy life insurance!

What Is Life Insurance?

Life insurance is essentially a contract between you and an insurance company. In exchange for premium payments, they promise to pay a lump sum to a beneficiary of your choosing at the time of your passing. This lump sum is called a death benefit. It is most often used for funeral costs or paying off a mortgage or other debts. It can also help to replace the loss of your income.

Policies are cheaper when you’re young and healthy, so getting one sooner rather than later is smart. Beyond getting cheaper premiums, if any of the situations below apply to you, it’s time to start shopping for a policy.

1. Your Income Helps Support Someone

If you earn an income that helps to support someone, you need life insurance, simple as that! And the more money you make, the more life insurance you need. As we mentioned, your job might offer you a life insurance policy, but that policy is a base level of coverage and likely won’t be enough. So how much do you really need? You should look for a policy with a death benefit of at least 6 – 10 times your annual salary. That means if your salary is $50,000, your policy should have a death benefit of around $500,000.

Think of it this way: if you’re part of a couple, you’re most likely planning your life around two incomes. You plan on paying for your mortgage, retirement, and even day-to-day expenses with each other’s incomes in mind. Imagine suddenly losing your loved one and then having to move or completely rebuild your life because you can no longer afford the life you have. That means protecting your partner with life insurance is a must.

2. You Have Kids

If you’re a parent you should already have life insurance. Ideally by the time a life insurance payout comes, your kids will be grown and leading their own lives, but it’s better safe than sorry. It generally takes two incomes to provide for kids. So a sudden loss of income can be devastating, and not just in terms of day-to-day expenses. If the worst does happen, life insurance benefits can be put into a college fund or a savings account to help pay for bigger life expenses that you’d planned to be there for.

3. You Have Debt

When you’re young, you can start racking up some hefty debts that are meant to be paid over a long period of time. You acquire these debts hoping to live a long life and to pay them off long before you’re gone, but you don’t know what the future holds. No matter when you pass away those debts still need to be paid, and they will fall to any family you’ve left behind.

Your debt balance should play a factor when you decide how much life insurance you need. Theoretically you want to leave enough of a death benefit so that your family can pay off your house and other loans, and not have to double their own debts. Getting a robust policy will keep your loved ones from having financial worries on top of handling your loss.

The Takeaway

Life insurance is about protecting your loved ones. It’s hard enough to grieve a loss, and you don’t want to add even more stress to the situation. The best way to find a life insurance policy that protects them is by speaking to an agent. Below we have a list of the top life insurance companies in the nation. All of which offer hassle-free assistance and competitive rates. Shopping around is your best bet, so always check multiple sites to make sure you get the best rate possible. Help protect and provide for your family by checking rates today.

Co-written by Brianna Hartnett

4 Healthy Habits to Help You Qualify for a Million Dollar Life Insurance Policy

One million dollars sounds like a lot of money, right? But in terms of a life insurance policy, it really isn’t a crazy amount when you think about all the debt, like mortgage and car payments, as well as other monthly and daily expenses, that your family would be left with if you were to pass away. Money will go quickly when paying off these debts, which is why it’s important to look into million-dollar policies for your family.

Think about it this way: if you’re married and bought a new home that costs $400,000, and you were to pass away, how would your spouse be able to afford your mortgage payments without your income? Having a large policy, such as a million dollar policy, will give you peace of mind knowing that your children and partner would be able to afford these mortgage payments, while also having enough money to help pay for other expenses your income would have covered. This type of large policy would mean that your family would be financially secure if the unexpected were to happen.

While million dollar policies are a good idea for a lot of people, you should know that there are some requirements you must meet in order to get one. So what can you do to qualify for one? Try adopting the following 4 healthy habits that will help you qualify for a million dollar policy.

1. Quit Smoking

no smoking sign — *Cigarette smoking is linked to 80 to 90% of cases of lung cancer, which is a red flag for insurance companies.*

One of the first questions that most life insurance companies will ask when you apply for a policy is if you use tobacco products. This is because insurers always try to assess what kind of risk an applicant will be at before providing them with a policy. And because cigarette smoking is linked to 80 to 90% of cases of lung cancer, insurance companies see this as a huge red flag. So if you are a smoker, consider quitting and then waiting before you reapply for a life insurance policy. If you do this, you might qualify for lower premiums on a million-dollar life insurance policy.

2. Lose Weight

Your weight is another thing that insurers take into consideration when determining both your premiums and how much coverage you qualify for. Their view is that if you are overweight or are considered obese, you will be more likely to develop health conditions, such as diabetes, high cholesterol, heart disease, and stroke. So losing weight will not only improve your health overall, it will also make you more likely to be able to purchase a million-dollar life insurance policy at a reasonable price.

3. Eat Healthy & Exercise

Eating healthy and exercising are important parts of living a healthy life. Choosing to eat better and getting at least 150 minutes of moderate exercise a week can help you lower your cholesterol, maintain a healthy weight, and reduce the risk of heart issues. Not only that, but these habits will make you look better to life insurance companies, and could help you get your million dollar policy.

4. Avoid a High-Risk Lifestyle

If you are into scuba diving, jumping out of planes, or any other high-risk activities, this is generally a red flag for life insurance companies. And not only is your lifestyle important in determining your eligibility, but so is your profession. If you have a high-risk job such as a logger, you will also be considered a bigger risk for a life insurance company to take on. Consider avoiding high-risk activities that will result in higher premiums, as well as a lower benefit amount.

How To Find The Best Policy

There are many great affordable life insurance options to choose from that will provide enough money for your family, for a low monthly price. The best way to find the right life insurance policy for you and your specific needs is by working with an agent who specializes in life insurance. We have provided the top life insurance companies in the nation below; each offers hassle-free assistance and the most competitive rates. Always check multiple sites to make sure you have bargaining power and know the advantages of each company. Make sure a hard time isn’t made harder by a financial burden, check life insurance rates today.

Life Insurance for Dual-Income Families

In many cases, people think that only the breadwinner of a family needs to have a life insurance policy, since they bring in most of the family’s income, and it is their income that would need to be replaced. But what about families in which both partners make an equal income? Do both spouses need life insurance, and if so, which policy is best for dual-income families?

Why Dual-Income Families Should Have Life Insurance

If you and your partner both have an income, you both equally contribute to paying the bills and taking care of the debts that accumulate in your household. Your family is accustomed to living with both incomes, and losing one could seriously impact your family’s financial stability. When both income-providing partners have life insurance, this can help pay for funeral costs and offset the lost income from either spouse.

Whether you are the breadwinner of the family or not, it’s important to have a life insurance policy for: hundred dollar bills

Financial stability- A policy will ensure that your spouse or children will not have to deal with outstanding debt or bills, or with worrying about mortgage payments on their own without your income to balance it out.
Quality of life- Even if your spouse has an income, they might have to work more to maintain your family’s current lifestyle. They will be dealing with emotional and psychological stress alongside added bills such as childcare and more, which can add up.

What Type Of Life Insurance Should You Get?

When considering what type of policy both of you should get, one of the most important things to consider is whether you should get one policy together or separate policies. Consider the following options:

Joint Life Insurance

You do have the option to get separate policies, but you also have the option to get a policy that covers two people, known as joint life insurance. Joint life insurance is a type of universal life insurance, meaning that it is permanent life insurance, and so will remain in effect for your whole life. Depending on how your policy is structured, it might build cash value that grows, tax-deferred, over the life of the policy.

If both you and your partner need the same level of coverage, it may be less expensive to buy a single joint policy with the face value (benefit amount) you’re looking for, compared to two individual policies with the same face value. But you should be aware that, depending on the type of policy, once one policy holder passes away, and a claim is paid, the surviving partner will have to get a new policy to cover them.

Individual Life Insurance

Individual life insurance can be better suited to a couple that has a lot of financial needs, such as providing protection for young children or covering ongoing lifestyle expenses for the family. Another benefit is that individual insurance allows coverage to continue for surviving spouses, even if one of the spouses passes away and a claim is paid.

Individual policies are also a better option if you want coverage that is customized for each of you, such as different benefit amounts or terms of coverage. But it is important to note that individual life insurance policies will have slightly higher premiums than a joint policy.

How Much Coverage Should You Get?

Once you’ve thought about what type of policy you and your spouse should get, you’ll have to think about the amount of coverage you should have. When looking for a policy that will give your family enough coverage, you should make sure the benefit amount is at least 10 times your annual income. In some cases, it might be appropriate to add an extra 15 to 20% just in case there are any extra death-related expenses and financial obligations that your spouse would have to take on, such as a mortgage, car payments, utilities, childcare, and more.