Recommended Universal Life Insurance Policies
Reader’s Question:
I’ve heard a lot about how much coverage one should have under a life insurance policy (my neighbors here in Minnesota just loves to talk about these things!), How much universal life insurance, in essence, would you recommend?
Lee
Minneapolis, MN
This is a very good question. Everyone who wishes to have life insurance coverage should know how to recognize how much life insurance would be adequate for their needs. Many experts say you have to get a coverage amount that is ten, twenty, thirty times your annual income as a good rule of thumb. While this may be a good estimates, you can never really be sure if these are enough or in the other hand, this may be too much and you might end up wasting too much money on life insurance that could have been put to good use elsewhere. Where do you even begin?
It would be highly advisable that you get a good understanding of your family, your household, your kids (anyone who relies on you there in Minnesota, financially) needs. On an annual basis, try to determine how much you spend on bills, groceries, mortgage, loans, debts and any other financial obligations that you may have. You will now have a way of more precisely identifying how much money your beneficiaries would need in order to survive decently in the event that you pass away.
Let’s say you do pass away, how much money or income do you want to leave your beneficiaries? For how long? Also, who will take care of burial costs? Let these questions guide you in determining the right kind of life insurance policy for you with the right amount of coverage.
Cheapest universal life insurance rates
Reader’s Question:
How and where can I get the cheapest universal life insurance rate?
Anthony
Thank you for asking Anthony.
When you buy life insurance, I am sure you want a policy that will take care of your family’s needs without costing an arm and a leg. The easiest way to find the cheapest universal life insurance rate is to go to an online comparison website.
Once you are there you will be asked to fill out a simple application form that will allows you to tailor your life insurance to your needs. You will get fast quotes from multiple companies, and therefore you can choose the cheapest rate.
Some insurance company websites even offer a chat feature that lets you talk online with an insurance agent that assist and answers to all your questions regarding your universal life insurance needs.
Goodluck!
MariCAR
First-Time Universal Life Insurance
Reader’s Question:
I’m looking to get my first universal life insurance policy for my work here in Georgia, I’m wondering how I should go about doing this?
Ayers
Savannah, GA
For many people, choosing a life insurance policy is a big deal, and it should be! With literally hundreds of insurance companies out there, you would want to make sure that pick the right kind from the right provider. Life insurance is a long term commitment so you want to make sure you get it right (so you won’t end up knocking yourself on the head ten, twenty or even thirty years down the road). So here are a few tips and suggestions to help you get that very first life insurance policy of yours there in Georgia:
1. Ask yourself why you need life insurance
Knowing why you need life insurance, whether for work as you stated or maybe to give you, and your family security for the future in the event of your untimely demise, would help you narrow down your choices and give you a greater chance of finding the life insurance policy best suiting your needs.
2. Know what kind of policy to get
If you are just looking to get life insurance coverage due to the nature of your job then Term Life Insurance would be best. This is a type of life insurance coverage that is much cheaper, simple and is meant to be kept for only a certain period of time.
3. Shop Around
The Web is a great resource for those looking to get quick, accurate life insurance rates to compare. You should at least get five quotes before considering a provider.
Cheap Whole Life Insurance Rates
Reader’s Question:
How can I buy cheapest whole life insurance premium here in Cincinnati? Are there companies that offer cheap whole life insurance?
Daniel
Cincinnati, OH
Hello Daniel
Actually, whole life insurance premiums are substantially high compared to the term life insurance. Perhaps, you’ve already heard that term life insurance is the cheapest life insurance there is. However, it does not give you the benefits that you can get from whole life insurance – that is, you get an investment side and you have the chance to utilize the money while you’re still alive. But if you are plainly asking the possibility of cheapest whole life insurance (which I believe is what your question mean), I would say there is indeed cheapest whole life insurance in Cincinnati.
First, you may want to consider universal life insurance which is a whole life insurance version but with the flexibility of payment. The flexibility is based on the interest rate of the present investment. To give you idea of your initial and possible life insurance premium to pay, you can get free quotes on this site.
If, however, you really want whole life insurance only, then you can do well by searching for life insurance companies that offers the cheapest whole life insurance premium. Anyway, the life insurance premiums differ from one company to another, so surely among many companies, you can find the one that offers the cheapest whole life insurance premium.
Smoker Life Insurance
Reader’s Question:
If I don’t tell my insurer in Connecticut that I am smoking, would the insurance company in Hartford, know about it? Will anything happen to me if I lie about my smoking?
Erwin
Hartford, CT
Smokers are considered an insurance risk because they pose high risks for health problems compared with non-smokers. Smoking cause serious negative effects on health, and eventually life insurance. The insurance companies in your area, will of course know eventually.
Concealing the fact that you are smoking can be considered as a fraudulent act, therefore your insurance company will not know immediately in your application for life insurance. In the event that you prematurely die and your insurance company found out that the cause of it is smoking, then your insurance company holds the right to deny claims of your insurance!
It is better to be honest on your part so as not to scrutinize your insurance and endanger the benefits that it will bring to your beneficiaries.
Your life insurance company in Connecticut may not have known it that you’re lying upon your application of insurance, but provided they know eventually, then you’re in a costly mess both in the law, as it is a fraudulent act and your insurance in Hartford.
Life Insurance in New Jersey
Reader’s Question:
Hello, I’m from Irvington, New Jersey. Please explain, why is it that term life insurance policy is cheaper than whole life insurance policy?
Nicole
Irvington, NJ
Hello there Nicole.
This is the common question for most people who are looking for their money’s value.
Bear in mind that “cheapest doesn’t always equivalent to the best option”. Term life insurance policy is cheaper compared to whole life insurance policy simply because term life insurance covers you for a limited period of time only. The coverage end up when the specified number of years is completed.
Compared to whole life insurance, term life insurance does not build up cash value. If you are going to surrender or terminate the life insurance policy you cannot get your money back. While a whole life insurance has a cash value, its insurance and at the same time also an investment that could give you cash equivalent in the long run.
These are the direct comparison between term life insurance and a whole life insurance. It is also the main reason why term life insurance is cheaper than whole life insurance.
To avail free quotes, you can go to websites that offer free quotes such as this one. It is as simple as filling out a form, and you will be given free quotes without any obligation. I suggest you do compare at least 5 rates from different companies before you buy any insurance from your area.
Permanent Life Insurance Florida
Reader’s Question:
Hi, I have bought permanent life insurance here in Cape Coral for about ten years now. But at this point I can’t pay for the premium anymore because of an unexpected event in our family. What should I do with my insurance here in Cape Coral?
Claire
Cape Coral FL
Hi there Claire.
I appreciate your honesty and surely you will be rewarded with solutions to your crisis. With permanent life insurance, you will be faced with three options if you cannot pay for the premium anymore. First, you can opt to cash out the cash value of your policy. This way, you will be able to collect the accumulated cash. Once you do this, you will not longer be entitled for the life insurance coverage but at least you have taken out the cash savings. It is possible for you to pay taxes if the amount is over what you have paid in premiums.
Your second option is reduced paid up. This means that you can choose to stop paying while you let the cash value pay for the life insurance. Once this happens though, the death benefit may be reduced and there would be no more cash value.
You can opt to have it lapsed. However, you can save it in due time if there is provision in the policy that it can be reinstated after a period, usually after five years. Once you reinstate it at times when you are already ready to keep the life insurance “alive” again, you need to pass through another medical examination. However, the premiums are usually lower compared when you buy it as new life insurance.
You can talk to your life insurance agent to guide you with the best choice taking into account all the possibilities in your current and future condition.
Universal Life Insurance in Kentucky
Reader’s Question:
I am a permanent life guy! My agent in Lexington, Kentucky was telling me about a new product called universal life insurance. If you can please fill me in fro things I should watch out with insurance in KY?
Jon
Lexington, KY
Okay Jon,
Glad to hear you are on board with permanent life in Kentucky. Universal life insurance is not a new coverage. Let’s say it is a young coverage. Universal life plans were developed to accommodate individuals who, like yourself, wanted the advantages of permanent life insurance but who wanted a little more flexibility with the premiums requirements.
Universal life insurance does offer a guaranteed death benefit. That should be at the core of your decision making if you need to purchase very soon in Lexington. But, sometimes it is nice to be able to work with the carrier to establish your own premium payment amount and how those payments are made. Many universal life insurance packages include dual death benefit possibilities. See what we mean by flexibility of insurance policy in KY?
With universal life insurance, the owner can also decide the coverage period. It can be for one’s entire life or for a lesser time frame. Just another flexible option for you to consider. Usually the cash value accrual in universal life insurance is not guaranteed, but the option is there for you. Sounds like your agent in Lexington, Kentucky knows your investment history. Get more info from him and please consider universal life insurance.
Universal Life Insurance Ohio
Reader’s Question:
I have a few friends in Cleveland Ohio trying to win me into buying my own life insurance. They say universal life insurance is generally beneficial. Who can actually benefit from universal life insurance?
Charlie
Cleveland, OH
Hello Charlie
Before I answer your question, let me run you through the basics of universal life insurance.
A universal life insurance is a permanent insurance where you pay premiums at a flexible rate for cash accumulation. In other words, a universal life insurance is not purely life insurance. It is also an investment at the same time.
In comparison with term life which pays for the death benefit alone, universal life insurance is actually a savings. In essence, both the insured and the beneficiary benefit from universal life insurance. Unlike term life where only the beneficiaries can get the life insurance amount upon the death of the insured, the insured will be able to benefit the amount invested with universal life insurance.
In fact, the accumulated cash can be used to pay the premiums to keep the insurance in force. And if the cash have accumulated enough, it ca be withdrawn for other use and returned to keep the investment and insurance enforced and increase cash value. What is even more beneficial about the universal life insurance is that payment of its premiums is flexible so the policyholder pays based on current interest rate.
A universal life insurance is beneficial also to those who want to accumulate cash up to the person’s 70th year. When the person started investing at age 30, he could have accumulated enough cash to supplement his retirement.
I think it is best for you to talk to a local insurer in Cleveland Ohio about your options for insurance before you will get convinced by your friends to buy universal life insurance. Once you get the agent’s opinion, you can proceed to comparing their quote to the ones you will get free online. I encourage you to get free quotes now while you are online which can also be done in this page.
What is Universal Life Insurance
Reader’s Question:
I just want to ask what is a universal life insurance?
Arthur
Honolulu, HI
I can give you some overview answers, Arthur.
There are many different types of universal life insurance plans available in Hawaii. You see, most people are familiar with term life insurance that pays the policy amount of your death. Term insurance policies often have a premium guaranteed not to increase for a fixed number of years. Whole life policies are designed as permanent plans that you could own for lifetime. These policies build cash rate besides the death benefit. The cash rate can be borrowed against, and sometimes withdrawn. A disadvantage of a universal life insurance is that the customer’s insurance needs could change over time and the terms might not be very useful in the future. The policy may not fit your current needs. Flexible universal life insurance policies vary by company. Typically they allow you to adjust the amount of term coverage up or down within limits. After the first year you can also change the amount of payment in your universal life insurance. If the time comes when the policy is no longer wanted there is usually an option that you can surrender the policy and get the cash value that has built up in your universal life insurance. Everyone’s needs are different so I suggest you sit down with a good agent to review possible options.
Maybe you need to understand the terms of the policy you choose. And remember that universal life insurance often can extend for many years so it is important to purchase from a very stable company.
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