FAQs

Your life insurance can cover expenses should you pass away. These expenses include monthly bills, groceries, mortgage debt, credit card debt, student loans, auto loans, childcare, college funding, and end-of-life expenses. Life insurance can also be used for business including a buy-sell agreement or to protect from the loss of a key person.

A beneficiary is a person or entity you name in a life insurance policy to receive the death benefit. You aren’t limited to one person as your beneficiary. In fact, you can name one person, multiple people, a trust/trustee, charity, or your estate. You can even have contingent beneficiaries in case something happens to the beneficiaries you initially choose. It’s a good idea to let your beneficiaries know that you are providing them a safety net should you pass away during your coverage.

The death benefit is the amount that a life insurance policy pays to the beneficiary upon the policyholder’s death. It is usually tax-free.

Yes! Owning multiple life insurance policies is beneficial as you age and need additional coverage. Some reasons for buying multiple insurance policies include buying a house, having a child, and getting married, just to name a few.

Life insurance is often a smart financial move and policies tend to be cheaper the younger and healthier you are.

Term insurance is exactly what you think! It’s insurance that is intended to last for a “term” or a specific period of time, usually between 10 and 30 years. It’s the most affordable life insurance you can buy, providing the most coverage for the least amount of premium.

Insurance companies determine premiums based on various factors such as age, gender, health history, location, and occupation. The premium for the same amount of coverage (i.e. $500k) can vary from insurance company to insurance company.

A permanent life insurance policy is intended to cover the insured for life. It also includes a “cash value” component that can grow (or shrink) over the life of the policy. The cash value can be used to pay for unexpected events. There are several different types of life insurance: whole, universal, variable, and variable universal.

If you have a pre-existing health condition, you could still get coverage. While it may not disqualify you, it’s important to know that it may slim down your choices in coverage and you may need to pay higher premiums. Some pre-existing conditions include: asthma, cancer, depression, diabetes, epilepsy, gastroesophageal reflux disease (GERD), high blood pressure (hypertension), high cholesterol (hyperlipidemia), HIV/AIDS, heart disease (heart attack/stroke/etc.) and obesity.

Step 1: Determine the need. Anyone who shares debts (such as a mortgage, student loans, or credit card debt) or those who depend on their income should consider life insurance.

Step 2: Calculate how much life insurance you’ll need. You can use the Life Happens Calculator (https://lifehappens.org/life-insurance-needs-calculator/).

Step 3: Determine what type of life insurance best meets your needs (i.e. Whole life vs. Term Policy). A while life policy may be better if you want insurance to last as long as you live and want the option to accumulate cash value. If you’re looking for coverage for a specific period of time or are looking for the most coverage for the least amount of premium, term may be a better option.

Step 4: Shop around. Life insurance quotes can be significantly different in pricing depending on the carrier you buy from. Ask us for a quote!

Step 5: Purchase a policy and tell your beneficiaries.