Oncken Insurance Agency, P.C. Blog
In this age, life insurance has become a need for everyone to protect their loved ones if something unfortunate happens. Much like health or auto insurance, life insurance coverage can be confusing if not explained right. To help you understand better life insurance better, here are a few life coverages explained.
Term Life Insurance
Out of the different types of coverage when it comes to life insurance, term life insurance is the easiest to apply for, understand, and buy. The policy will give you good coverage that comes at a low price. Much like its name, this policy will only provide you with coverage for a specific time. Most term life insurance policies come in 10 to 30 years. If the term finishes, the plan also expires but you have the option to renew it for a higher price.
If there are years when your family needs coverage the most, it might be the best choice for you to purchase term life insurance.
Permanent Life Insurance
For a policy that will last you a lifetime, you might want to consider purchasing typical permanent life insurance. There are many subtypes under this umbrella term that may be the best choice for you, such as the whole life and universal life.
The most significant difference that has permanent life insurance from term life insurance is that it can give you coverage for as long as you live. It also has a cash component that can either shrink or grow over time. The downside of buying this insurance policy is that it is a lot pricier than term life insurance. It has features that can cost you 5 to 20 times more.
Guaranteed Issue Life Insurance
Regardless of your health or age, once you sign up for this type of insurance, you are automatically guaranteed coverage. However, it is not as detailed as most life insurance policies. For one, you can only have around $50,000 death benefit to be received by your loved ones once you pass. While this does not sound like much of a problem, it might not be enough to cover your loved ones’ expenses in the future.
This policy is treated more like a final expense policy in that it can be only most significant to cover all the expenses that your funeral will cost.
Life insurance is a rewarding investment that will keep your family financially protected even after you pass. To guard them well, make sure that you are picking the right policy for you and your family. Talk to an agent about your options today.
At Oncken Insurance Agency, we aim to provide comprehensive insurance policies that make your life easier. We want to help you get the insurance that fits your needs. You can get more information about our products and services by calling our agency at (281) 256-8310. Get your free quote today by CLICKING HERE.