Term Life Insurance, Whole Life Insurance, Universal Life Insurance, Variable Life Insurance, Survivorship Insurance… the list and combinations seem endless. Do you know which life insurance policy type is right for you?
At Jean Martin Insurance we can help. Our dedicated team of life insurance professionals understands Rhode Island’s market and regulations and can find the right plan – or mixture of plans – for your specific needs.
Term Life Insurance Basics:
Coverage for a “term” or period of your life
Lower premiums for a higher coverage
Rates can change after specific terms expire.
No equity – cannot be used as cash value
Permanent Life Insurance Basics
Exactly like it says – permanent, not for a specific period
Protection carries with you your whole life
Can build equity and have cash value
Higher premiums then term life, but can be more valuable in the long run
Term and Life Insurance Together:
Build lifelong base of whole live coverage
Supplement specific times of your life with term insurance
When to choose term:
Most people choosing term life Insurance have a strategy for long term net worth and need specific coverage for a period of their lives to protect debt, loved ones, and children. For a homeowner with children it might make sense to have a term life policy to cover the mortgage and living needs until their children are old enough to provide for themselves – in this case the term would expire around the time your children move out.
When to choose whole life:
Whole life Insurance can be used in the retirement years as cash assets. It can provide equity for loans and have fixed payments that do not increase with time. Many times whole life policies will pay dividends - although not always.