Life Insurance

Life insurance provides financial protection for your loved ones in case of your untimely death, helping to cover expenses such as funeral costs, debts, and ongoing living expenses.

The main types of life insurance are term life insurance, which covers you for a specific period, and whole life insurance, which provides coverage for your entire life and includes a savings component.

The amount of coverage depends on factors like your income, debts, living expenses, and the financial needs of your dependents. A common recommendation is 10-15 times your annual income.

Term life insurance provides coverage for a specific period, such as 10, 20, or 30 years. If you pass away during the term, your beneficiaries receive the death benefit. If the term ends and you’re still alive, the coverage ends without a payout.

Whole life insurance provides lifetime coverage and includes a cash value component that grows over time. You can borrow against or withdraw from the cash value, but it may reduce the death benefit.

Generally, the death benefit paid to your beneficiaries is not taxable. However, if your policy accumulates cash value, any withdrawals or loans taken from it may be subject to taxes.

Yes, many life insurance policies allow you to make changes, such as increasing or decreasing coverage, changing beneficiaries, or converting a term policy to a whole life policy.

If you stop paying premiums on a term policy, your coverage will lapse, and you’ll no longer have protection. For whole life policies, the cash value may cover the premiums for a time, but eventually, the policy will lapse if payments aren’t resumed.

Yes, you can have multiple life insurance policies, depending on your needs. Some people opt for different types of policies or additional coverage for specific purposes.

A beneficiary is a person or entity you designate to receive the death benefit from your life insurance policy upon your death. You can name one or multiple beneficiaries.

Yes, life insurance generally covers death by natural causes, accidents, and illnesses. However, certain exclusions may apply, such as suicide within the first two years of the policy.

Yes, you can still get life insurance with a pre-existing condition, but it may affect your premiums and the availability of certain types of policies.

Premiums are based on factors like your age, health, lifestyle, and the amount of coverage you choose. Smoking, high-risk occupations, and certain health conditions can increase your premiums.

A rider is an add-on to your life insurance policy that provides additional benefits or coverage, such as an accelerated death benefit or waiver of premium if you become disabled.

After a claim is filed, life insurance payouts typically take a few weeks to a few months, depending on the circumstances of the death and the processing time of the insurance company.