Types Of Life Insurance Coverage I Offer
Term Life Insurance
This is the most straightforward and affordable type of life insurance. It provides coverage for a specific period, such as 10, 20, or 30 years. If the insured passes away during the term, the beneficiaries receive a death benefit. If the term expires while the insured is alive, there is no payout.
Whole Life Insurance
Whole life insurance offers lifetime coverage and includes a savings component known as cash value. Premiums are typically higher than term insurance but remain fixed throughout the policyholder’s life. The cash value grows over time and can be borrowed against.
Universal Life Insurance
This type of insurance offers flexible premiums and adjustable death benefits. It combines life coverage with an investment savings element, and the policyholder can alter the amount and timing of premium payments based on their needs.
Variable Life Insurance
Variable life insurance includes a permanent death benefit and an investment component. The cash value can be invested in a variety of separate accounts, similar to mutual funds. While there’s potential for higher returns, it also comes with more risk.
Indexed Universal Life Insurance
This policy offers flexible premiums and links the cash value growth to a specific market index, like the S&P 500. It provides the opportunity for greater returns than standard universal life, with some protection against market downturns.
Final Expense Insurance
Also known as burial or funeral insurance, this is designed to cover end-of-life expenses such as funeral costs and medical bills. It usually offers smaller coverage amounts and is easier to qualify for.
Group Life Insurance
Often provided by employers, group life insurance offers coverage to a group of people under a single contract. It is typically less expensive than individual policies but may offer limited coverage amounts.
Survivorship Life Insurance
This policy covers two people, usually spouses, and pays the death benefit only after both individuals have passed away. It’s commonly used in estate planning and wealth transfer strategies.
Accidental Death and Dismemberment (AD&D) Insurance
This is a limited life insurance policy that pays a benefit if the insured dies or is seriously injured in an accident. It does not cover natural causes of death or illnesses.
