Frisco Life Insurance Offers Needed Protection

Each life changing event creates a critical financial period. It is a period for saving or paying for the event. For example, buying a home creates years of debt. What happens if you die before the mortgage is paid? Although Frisco Life Insurance offers an answer, you make the decision. You need to understand your options.  At the Roger Welch Agency, we can help you with your home, auto and life insurance needs.  Visit our website today by clicking here.

Types of Life Insurance

Life insurance may be purchased term or whole lifetime.  Term life insurance may be purchased for 1-year or for multiples of five. Premiums and coverage expire at the end of the term.

Whole life insurance premiums are paid until death or the policy is canceled.  Premiums are divided into death benefits and investments. The investment builds cash value that may be borrowed or received when the policy is surrendered.  Other whole life policies are universal, variable life and variable universal.

Universal life insurance has the same cash value feature as ordinary whole life, but the premiums are flexible.

Variable life policies emphasize the investment feature of  whole life policies. In some cases, the death benefit may be impacted by market conditions.  With excellent market conditions, these policies may provide a good return on investments.

Variable universal life insurance combines safety with investment to provide the advantages of both policies.

Additional information is available at Frisco Life Insurance.

 

Some Advantages of Term Life: 

Inexpensive and affordable for most people

Death benefit is guaranteed for a specific number of years

Premiums are usually level, but some may increase each year

Most term policies may be converted to whole life

 

Disadvantages

It doesn’t pay unless you die

You lose it all if it isn’t converted

 

Advantages of Whole Life

Beneficiaries are covered throughout insured’s  life

Builds cash value

Allows tax deferred income

 

Disadvantages

Premiums are higher and may be hardship on young people.

Insured may outlive the beneficiaries

Insurance company’s investment options may be minimal

 

Conclusion

Life insurance policies with death benefits that cover the beneficiaries’ needs are adequate. Term insurance is better for young people due to budget constraints. In any case Frisco Life Insurance is the place for research and competitive rates.  Contact the Roger Welch Agency today by clicking here, for help on home, auto and life insurance.