The life insurance policies are not equal. Some provide coverage to the rest of his life until his dying day while others cover a specific period of time (years). Some policies accumulate cash value and others not. Some combine different types of insurance, and others will allow you to change from one type of insurance to another. Some may offer some other benefits while still living, called "benefits of life".
There are two basic types of life insurance... "Term" and "Cash Value"
Term insurance is lower premiums (which you pay) in the first years of ownership of the policy, however not to build all the cash that you can use as a financial resource in the future while still viviendo.Ninguno values.The benefit of term insurance is the lowest premiums.
You can however, secure Harvester to term and secure for the length of time that his family would have the greatest value in cash needed to replace their ingresos.Un example of this would be to help your family parenting, must die before they are sufficiently old to be self-sufficient.
Term simply provides coverage for a period of one or more years provides a death benefit only during the specified term and pays nothing, once the policy expires or if premiums are not paid.
Term insurance generally offers more bang for the buck... more coverage for the least amount of the premium.
You can renew most policy term without providing what is known as "evidence of insurability".Esto means if you get deathly ill mark 9 years of a term of 10 years, policy simply renew policy continue to pay the premiums, you don't have to prove that your health is in good reputation as did it when you first took out the policy.
Please note, that each time you renew policy your premiums will rise.Be sure to ask your agent or insurance company exactly how much premiums will rise to renew the política.Compruebe if you lose the right to renew the policy for a specific age. For a higher premium, some insurance companies will allow the right to have the policy in force during a period in which ensures that the same every year. Of course, you will need to provide evidence of insurability at the time of renewal, in such a policy.
During a conversion, you can reach a term for a lifetime of trade policy, or if you have a "convertible" provision in its policy, may be able to make your temporary insurance standing at any time.
Cash value life insurance is a life where premium you pay is higher in principle for the same benefit of death (amount of face or par value) of a term policy. The part of the premium that you pay is not used for the actual cost of insurance, but rather is reversed by the insurance company.This inverted quantity builds value cash they can by used by you, while still living in a variety of ways.
You can take a loan against the equity in cash.If you do not pay back it, the amount paid against the policy of the nominal value of the policy upon the death will be deducted.You can also use the value of cash to maintain some protection insurance in force for a limited period or a reduced amount of face to buy without paying more premiums in (paid).
Cash value insurance is called a whole life, universal life or variable life and each of these different types of policies effective value differ.
Whole life insurance provides protection for always and when you live (lifetime), provided you pay your premiums.Premiums are generally guaranteed and never change.Some whole life policies are paid in a certain period of years.This is commonly known as "20 pay life" or "10 pay life" political .These are usually for children as premiums for this type of policy can be very expensive in later years.
Universal life insurance is a flexible policy that allows you to vary your prima.El payments policy face amount can be adjusted by the owner of the política.Aumentos the face amount generally require a health check to make sure you are not achieving additional coverage due to concerns of salud.Una part of your monthly premium covers the cost of insurance (insurance portion is always annual renewable term) and another part of the premium enters a cash account separada.Esta separate account is used for investments by the insurance company and pay interest to usted.O well, if the separate account does not earn money investments, you can lose dinero.Si this number continues to drop and becomes negative, you will lose your coverage.
Variable life insurance is a kind of policy where death (nominal value) benefits and cash values depend on the performance of the investments made by the insurer in one or more separadas.Éstas accounts can be mutual funds, investment accounts real roots, bonds accounts et al. make sure you carefully study booklet offered with this type of política.Con variable life, you have to pay a higher premium for a guaranteed death benefit.
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