In the event of your passing, life insurance provides money income tax-free directly to your beneficiaries. They can use the money for whatever they need, such as:
- Making up for your lost income
- Funding a child’s education
- Paying off household debt
- Paying for your funeral and other related expenses
Term Life Insurance Basics
Term Life Insurance provides a cost-effective solution for your temporary life insurance needs and gives you the flexibility to change your policy should your temporary needs turn into permanent goals.
- An affordable way to get maximum coverage.
- To cover specific financial responsibilities like a mortgage or college expenses.
- To supplement your Permanent Life Insurance during periods when coverage needs are higher, such as family-growing, mortgage-paying years.
Some things to consider about Term Life Insurance:
- There is no cash value accumulation.
- Continuing your coverage after the initial level premium-paying term expires can be very expensive.
Permanent Life Insurance Basics
Permanent life insurance is flexible and gives you a series of options that can be changed as your life changes. You could even choose to stop paying premiums and change your policy to “paid-up”. Permanent life insurance allows you to make choices that fit best with your life.
- Protection to last as long as you need it, perhaps a lifetime.
- A good foundation of traditional insurance.
- To commit to paying an ongoing level premium.
- To build cash values with a conservative approach.
- The option to change your policy to “paid-up”.