What is whole life insurance? With the recent chatter brought about by the recession interest in whole life insurance.
Whole life insurance is a contract between an individual and a life insurance company stating that if the individual dies the company will pay a specific sum to specified beneficiary.
The responsibility of the individual is to pay the premiums as per the contract. The individual can keep the policy for the rest of his or her life.
Some companies use age 100 as their standard. This policy can never be taken away from you. What is the whole life insurance policy about?
Want To Get Free Whole Life Quotes From Highly Rated Life Insurance Carriers? Click Here And Save!
Some people put it this way. Whole life insurance is much like an endowment to age 100. The premiums for this type of coverage are much higher than those of term life policies but there are valid reasons for that.
Cash Or Loan Values
Whole life insurance has
which are payable to the owner of the policy upon surrender of the
policy any time in the future. Term policies have no cash values.
These cash values are lower than the premiums paid initially but in the long run can amount to a considerable sum.
If the policy owner should find himself or herself in need of quick cash about 80% of this money can be obtained in the form of a loan from the life insurance company.
If your policy is a participating policy
will accrue and this money is also available to the owner of the policy
if the company performs well enough to declare a dividend.
This cash, incidentally, may be added to your cash value upon surrender or upon your request for a loan. There are several dividend options available.
What is a whole life insurance policy? Whole life is the most comprehensive of life insurance policies. It does everything a life insurance policy can do.
Copyright © 2004 - 2019 LifeInsuranceHub.Net. All Rights Reserved.
The amount of spendable income an individual has helps determine what is affordable life insurance.
You have been hounded by life insurance agents from your senior years in college. You just didn't see the need to buy personal life insurance.
Some people don't understand how you can buy term life insurance with no medical required. They are under this illusion that in order to issue such policies the premiums have to be higher than the nor
Term life insurance no exam necessary. These days, it appears that, everyone wants to buy term life insurance.
Finding the best term life insurance policy can be a very tedious exercise. What really is the best? It is important to make a decision as to why this life insurance is needed in the first place. We t…