It's never too early -- or too late -- to think about life insurance. on your own for the first time,
- just starting a family,
- have quite a clan depending on you, or
- simply enjoying retirement
Life insurance can help provide monetary death benefits when you die to those you designate as beneficiaries -- say your spouse, children or siblings. But, life insurance can serve for more than just "death protection."
Types of life insurance
Level Term Insurance :providing a constant death benefit amount of insurance for a specified period of time.
Decreasing Term Insurance : the face amount decreases over the term of coverage. This may be used, for example, to cover the decreasing amount of a home mortgage.
Permanent or Whole Life Insurance : this is permanent life insurance protection provided through age 100. A permanent or whole life policy accumulates cash value.
Flexible Premium or Universal Life Insurance : designed as a permanent life policy, this coverage differs from traditional permanent policies in that it allows the policy owner to vary the amount and timing of premium payments (subject to satisfying policy premium minimums to keep the policy in force), plus increase or decrease the death benefit (subject to underwriting for an increase and policy minimums for a decrease).
Remember, you can also use life insurance:
- to help you establish an estate plan,
- as a component to your savings strategy,
- for retirement income, or
- even to pay for estate taxes.