Legacy Building: Creating Wealth and Protection for Future Generations

Do you really want to spend your money on the next silly fad for your children or grandchildren? Something that will be broken in a week and soon forgotten. Or would you rather invest in their future by creating a legacy that will make you worthy of having your portrait over their fireplace?

By purchasing a permanent life insurance product for your young children or grandchildren you can produce a significant estate for them for a relatively small investment. The cost of a good whole life policy can be prohibitive for an adult but by setting them up for a child it is very cost-effective.

There are several advantages to setting up a permanent policy for your children or grandchildren other than the low-cost. For example, the application process is drastically simplified with less restrictive medical questions. Also, the family history questions are based on their younger parents and siblings.

By insuring your children and grandchildren at a young age you are protecting them from becoming uninsurable later in life. With 1 in 3 people being diagnosed with a critical illness at some point in our lives doesn’t it make sense to have some kind of permanent insurance in place before that happens? Even if your children remain healthy, they may end up in a high-risk profession or occupation down the road making them hard or very expensive to insure.

Many of these policies have features that allow them to be fully paid up in 20 years or less. You only need to commit to a small payment for up to 20 years and you provide them with growing cash values and protection for life.

There are some that think cheap term insurance is all we need; however, I believe that the term insurance we have paid so much for throughout our lives won’t be there for us when we really need it because it will be just too expensive and we will cancel the policy. I don’t think you want that for your family.

Also, with the advantage of time on their side, the cash portion of a whole life policy can become quite significant by the time they are ready to retire.

In Proverbs 13:22 of the good book it says “A good man leaves an inheritance to his children’s children.”

Just think for a moment, when you purchase a permanent life insurance policy for a grandchild and their children become the beneficiaries, you are leaving an inheritance to your children’s, children’s children! That kind of loving long-term thinking just might get you that portrait over the fireplace.

Posted in Uncategorized | Comments Off

Whole, Universal, And Term Life Insurance: What’s The Difference? What Do I Need?

Term life insurance is extremely popular. If looking for insurance, do you understand the top features of term life insurance or the way it is different from other kinds of insurance? Continue reading for info.

What’s Term Life Insurance Used For?
People usually delay buying life insurance simply because they believe it is more than their budget can handle, plus they often overestimate just how much it’ll cost you. However, term life insurance is definitely an inexpensive method of getting the policy that you’ll require.

You might have heard term insurance known as short-term insurance coverage. It is because term life insurance policy offers coverage for a certain time period, or a specified “term” of years. If you were to die in the period specified by your policy, then a death benefit will likely be paid out.

But what can term life be utilized for?
Term life insurance can be used as a variety of objectives. A few common ways to use term life insurance may include:

To replace your earnings if you were to die suddenly
Help your loved ones cover one last expenses as well as hospital bills
Leave your family with sufficient money to pay off financial obligations like a mortgage
Ensure your kids are left along with money to help pay for school
Provide needed coverage for a small child according to the divorce settlement
Can be utilized by businesses for key person insurance policy or buy/sell contracts

Whole vs. Universal: Creating a Permanent Choice
Whole life as well as universal insurance are both regarded as permanent policies. Which means they are created to last your whole life and does not expire after a certain time period so long as required premiums are paid. Both of them have the possibility to build up cash value with time that you might have the ability to borrow against tax-free, unconditionally. Due to this feature, premiums might be greater than term insurance.

Universal Insurance Benefits
Universal Insurance can give you many different payment choices, such as a flexibility of changing your death advantages, along with the potential to build up cash value with time. Here is how:

• Since there’s a cash value element, you might be able to skip premium payments so long as the cash value is sufficient to cover your needed expenses for your month

• Some policies might permit you to decrease or increase the death advantage of match your particular circumstances**

• In most cases you might borrow against the cash value that could have accumulated in the policy

• The interest you will probably have gained with time accumulates tax-deferred

Whole Insurance Benefits
Whole life policies provide you with a fixed level premium that will not increase, the potential to accumulate cash value with time, along with a fixed death advantage for the life of the insurance policy. Additionally:

• Any cash benefit growth is tax-deferred

• Whole life may permit you to make withdrawals as well as loans against the policy

• Whole life provides the ease of budgeting for any regular as well as consistent premium payment each month

Understanding Important Differences
The flexibleness that the universal life policy offers is a key differentiator over whole life. Because of this, universal life insurance premiums are usually lower during periods of high rates of interest than whole insurance premiums, often for the similar amount of coverage.

An additional key difference would be how the interest rates are paid. As the interest paid on universal life insurance is usually modified monthly, curiosity on a whole life insurance policy is usually adjusted yearly. This might mean that during periods of rising interest rates, universal insurance policy cases could see their cash values increase at a rapid rate than others in whole insurance policies.

Many people may prefer the set death advantage, level premiums, and also the potential for development of a whole life policy. However, for individuals who would rather have more flexibility as well as choices with regards to their permanent insurance, then universal life may be the better option.

Choosing The Best Policy for You
Despite the fact that whole and universal life policies have their own special features as well as benefits, both of them focus on supplying your family along with the money they will need whenever you die. By working with a professional insurance agent or company consultant, you’ll the policy which best meets your individual requirements, budget, as well as financial targets.

I started my freelance writing career after a five-year stint in marketing and advertising. I came to the realization that the part of my job which I loved the most involved writing articles for the association’s monthly newsletter.

Posted in Uncategorized | Comments Off

Buying Life Insurance Made Easy

If you are new to life insurance, choosing life insurance may sound overwhelming. However, the fact of the matter is that you can choose a good policy once you have understood a few tips that we have given below. The insurance policy will secure the future of your kids. Therefore, we highly recommend that you consider this option.

1. The “Trial Period”

As the term suggests, the trial period allows you to “try” your policy for a few days. During these days, you can review your policy in order to make necessary changes. You can make your desired changes or reject it. To know the length of the period, make sure you get in touch with the representative of your company.

For some reason, if you think the policy is not right for you, you can change your mind and go for a new policy. As a matter, this is a great feature of insurance policies.

2. Compare similar products

While you get quotes from various providers, make sure you compare similar policies. For instance, you can’t compare a permanent life insurance policy to a term life insurance. The reason is that the later features lower premiums. So, the price difference between the two can be huge.

Based on your needs, make sure you review all the aspects. Making this decision depending upon the monthly premium alone is not a good idea.

3. Life insurance is a form of protection

Keep in mind that your purpose of getting a life insurance policy is to give protection to your beneficiaries in case of your death. You don’t have to have any other purpose in mind. Although permanent policies allow you to earn cash with the passage of time, you can’t consider them as a form of investment. This is not a business, so keep this in mind.

4. Policy riders

You may want to get the most out of your premiums. When you choose a policy, you may want to ask the representatives of the company about the policy riders that they may be offering. What are the riders? Actually, the endorsements or riders are methods that you can use to enhance your policy in order to satisfy your needs based on your budget.

5. Go with a reputable provider

As said earlier, the purpose of getting a life insurance policy is to give financial protection to your family in case you are no longer with them. Therefore, you should choose a company after a lot of careful thinking. You should sit down with your family, friends and relatives to get suggestion. The most important thing is to go with a reputable provider. Reputable providers are usually the most reliable.

So, if you have been reading up on life insurance policies to make the best choice, we suggest that you consider these 5 tips. Hopefully, the tips will guide you and you will end up with the right policy. After all, what matters the most to you is your kids’ future.

Posted in Uncategorized | Comments Off