Term Life Insurance The Benefits
When people think of term insurance, they sometimes think of whole life insurance and its costs. And because they feel they cannot afford the coverage they want and need, they don't buy any. It is not a dog in a manger attitude, but rather a self imposed delay while they search for a solution to the problem. But then of course the problem is "out of sight out of mind."
TERM LIFE INSURANCE AND WHOLE LIFE
There are two types of life insurance, term insurance and whole life inusrance. With term life insurance you buy the largest coverage with the smallest premium for the term you choose. Whole life insurance basically works the other way around. Because you can "save" more in the policy, you pay more for less coverage. The "savings" are really an over payment of premiums against which you can borrow or permanently withdraw at any time once cash value is sufficiently build up.
TERM LIFE INSURANCE IS FOR WHOM?
Probably everybody until the older ages. If you are a normal family, the husband and wife need insurance until the children are gone. Then depending on your financial circumstances you may be able to cancel or not renew your life insurance.
TERM LIFE INSURANCE IS BETTER THAN WHOLE LIFE
In most cases term life insurance is a better buy than whole life. You can invest your money elsewhere, keeping separate your life insurance and your investments.
TERM LIFE INSURANCE PRICES ARE EASY TO COMPARE
Want to see how much you can save? If you want to get full value for your money make sure you compare the prices and don't buy until you get the best value in life insurance.
TERM LIFE INSURANCE BUYING TIPS
For some unknown reason, people buy term life insurance from the agent or broker without asking for the best price. Or the agent tells them that the price is the best without supplying proof.
TERM LIFE INSURANCE, CARS & HOUSE
Did you ever buy a new or used car without comparing prices? Of course you didn't . Would you buy a house without comparing its features to others in the same neighborhood?
So why do you buy term life insurance without comparing the premium rates? Is it because you don't really understand life insurance and/or don't want to know? That attitude can cost you dearly as you'll see if you compare prices for term life insurance at various companies. How much extra will you pay if you buy the most expensive policy in your age bracket? If you don't want to know, don't compare. But if you do compare, we know you'll ask us to give you a full quote, where you can see what all companies will charge you.
TERM LIFE INSURANCE & YOU
Here are some other tips:
- Buy coverage until the mortgage is paid.
- Buy coverage until the children are gone.
- Buy coverage for the longest period if you have no other savings.
- Don't buy whole life insurance unless you really understand it.
- Buy while you can still pass the medical.
About The Author:
Ivon T. Hughes of The Hughes Trustco Group is a licensed Insurance Broker. Author of The Life Insurance Handbook. - Get a FREE Copy TODAY!
Email: info@trustco.ca Web: http://www.hughestrustco.com
