The Pros and Cons of Insurance Life Loans

Everyone gets stuck in financial crisis at one time and another and that includes even the rich and the famous. It just takes a heavier toll on the average Joe. Borrowing money from your insurance life policy can be tempting especially when you have been paying it for more than a decade or so. After all, this option is one of the things that lured you into buying. In fact, it might be the only thing you remembered of all the inclusions of your coverage. However, will making an insurance life loan a good suggestion? Below are the pros and cons.

Pros:

• You do not have to pay your loan back. –this may sound music to your ears but of course it has a catch. You can loan as much as the amount that you have accrued in your cash value. You have the option to pay and not to pay your carrier back. If you decide not to repay, the amount you borrowed will be taken away from the death benefit that your beneficiaries will get in the event that you meet your Maker. The choice is quite simple. It will be up to you how you would handle your finances.

• It provides you an easy solution. –if you have a policy that gives you that option, that will provide you an easy escape to your problem. You would not have to opt for financial institutions which will require you to do frustrating paperwork. It will save you the time especially if every minute is important and the hassle of providing collateral. However, this advantage has conditions too. If you only have a term life insurance policy, you will not be able to make a loan as it does not accrue cash value. You need to have a permanent life plans to be able to borrow.

Cons:

• You can lose your policy before you know it. –a loan is a loan and it has to be paid. One downfall of making an insurance life loan and not paying even the interest is that you can lose your plan; hence, all the money you have allotted to pay for the premiums all those years. This is because that unpaid interest will most likely to compound together with your loan amount. If you will neglect the payment, you will be faced with two options, either to pay it from your own money or through your policy. If you do not have sufficient funds, you may be left without other alternative but to sacrifice your plan.

• Your dividends will go down. –since permanent types of plans are being exposed to the market, they are considered as an investment. It is the same with whole life insurance online and other similar plans bought over the internet. This is the reason why plan holders receive a dividend apart from the cash value that their plan accrues. As long as you have the loan, your dividend is more likely to go down until you get nothing. Worse, this can drive up the amount you borrowed all the more. This is because the collateral will cease from being active in the market.

Things to keep in mind:

• Pay your loan back. –Even if you do not have to do this, paying your loan back from your own money is the best way to protect your insurance investments. Remember that the total quantity of premiums you have been paying is bigger than the amount you have just borrowed. It is definitely not worth it to lose everything especially if you have the means to pay your carrier back. The most important thing is to pay it in time. Late may be better than never but beating the deadline is the best. This way, the coverage of your family will not be lessened.

• Make it your last resort. –although your permanent life insurance plan can bail you out that easy, it will be best if you will make it your last alternative. See to it that you have exhausted all other efforts before opting to borrow from your insurance policy. Turn to your carrier only if it is your only card left. Better yet, have an emergency fund you can use for urgent matters.

On one side, looking at permanent life insurance quote on line and buying them has lots of advantages such as allowing you to borrow money in the future. However, you must remember that every privilege has a corresponding task you must do properly or suffer the consequences.

Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on quotes life insurance and cheap term life insurance quotes, visit his site today.

Things to Know About Variable Universal Life Insurance

Variable universal life insurance is one of the policies that are not that popular especially with prospective plan holders who are not that keen with investing. This may be because it involves taking too much risk. In a nutshell, it is a type of insurance plan that secures the coverage of plan owner’s beneficiary by giving them a death benefit just like other insurance. However, it will also give the policy holder the opportunity to make more money by making investments. Therefore, the profit and loss depends solely on the shoulder of the plan owner. Below are other things that you need to know this type of plan.

Why is it called variable universal life insurance? –there are two things that single this type of plan out and its name indicates it. It is universal in the sense that you, the policy owner, can have the option of paying an unfixed premium; meaning, the amount due every month can differ within a range set by the carrier. At the same time, it is also variable as the cash value that it accrues can fluctuate depending on the performance of your preferred investments. It can double or you can lose all of it depending on the outcome of your decisions.

Benefits

• Flexible premiums –variable universal life rates may be way too higher compared with term life insurance quotes


but you can pay only a portion of it if you wish to do so. If your investments already have returns, you can use a percentage of it to pay for the remaining unpaid amount of your due premiums. If it will perform well, you may not even have to think of settling the payment at all.

• Money-spinning policy –one more advantage of such type of policy is that you can make money while still securing the coverage of your dependents. The cash value that your plan will accumulate can double or triple if your chosen investments will do well in the market. If luck is on your side, you can make relative amount of income from your plan. Your money will be working for you instead. Bear in mind that this is not a get-rich scheme though.

• Tax-free death benefit and income returns –as with any other type of insurance, the death benefit that your beneficiary will receive upon your demise is tax-free. But in the case of variable universal life plan, your income returns from your investments is also shielded from the tax so you can take home all your money.

Weak points

• Higher premiums –like life insurance no exam, this type of policy would also require higher premiums. Permanent life plans basically have higher payments compared with term life. However, variable universal may be even more expensive than whole life. This is because its face value can increase. In addition, a certain percentage of the premium is allotted to the investments you will be engaging in.

• Limited investments –another disadvantage of variable universal life is that there is limit in the investments that you can choose. Normally, your carrier will be pointing you to the ventures that are under their group of companies or their affiliates so that they will not lose the opportunity to make money through you.

Buying a universal life insurance policy

• Choose your carrier well. –since you will be working closely with your insurance company, you should take great caution in choosing one. It must be accredited by the concerned governing bodies and complies with the guidelines of regulating government agencies. Also, they need to be reputable and can be trusted that they are practicing good ethics. They must have good credit standings as well.

• Discern how much investment you should engage yourself into. –you should know which investments you should venture in and which you ought to avoid. You do not have to follow your insurance agent all the time. More investments would mean higher premiums not all investments do well and it does not necessarily mean that if one worked for other people, it would also work for you. Remember that since you are the plan holder, you will be the one paying everything.

• Ensure that your family’s coverage will not be overlooked. –before you thrust into any investments, make certain that the coverage of your family is already secure. The coverage and the premiums must be balanced at all times.

Next time you will look for term life insurance quotes, take a second to ponder if you think you can live up with the flexibility that variable universal life can provide and lots of risk-taking that it requires. For all you know, you can make relative money and make your family financially secure while you still live.

Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on cheap life insurance rates and online life insurance, visit his site today.

Protecting Yourself from Fraudulent “Affordable Life Insurance

When the proper authorities have been doing everything they can to abolish the groups who targets insurance policy holders and yet it is still that rampant, it is a must that you know how you will defend yourself from being a victim. It normally starts from talking you into an affordable life insurance plan which rates are too good to be true. Your alarm bell should ring as soon as you have cross paths with the fraudsters. Here are a few tips on how you can protect yourself from them.

• Check your pay slips bank statements on a regular basis. –while you might know how much you are expecting to be deducted from your salary, it pays to visit your bank statements of all your accounts including your payroll. Insurance life premiums can be paid by automatically debiting the due premium on your bank accounts monthly if you preferred this kind of arrangement. This has an upside as you will not miss any premium even if you forgot to pay it on or before the deadline. However, insurance agents may be enticed to deduct other amount without your authorization for “additional payments.”

• Do not trust your financial adviser fully. –you may consult your financial adviser regarding which life insurance quote on line you can consider as great find but not on everything. While you have to entrust them some of your personal information, you must take great caution in doing so. This is because they can be enticed to make some irregularities on your life insurance plan especially if you are worth a lot of money. Once you suspect that there is something wrong going on, you must not bring it up with your financial adviser until he is in the clear. Otherwise, you are in for doom as he can cover up his scheme.

• Stay in contact with your carrier. –you should maintain good relationship with your carriers as they can be a great friend. Even if it is part of their duty to do everything to protect the interests of your and their party, you cannot expect everyone to watch your back. Of course, there might be only one or two person who would do fraudulent acts but it is very unlikely that they will connive to do such things unless you have made transactions with a scammer. Being in contact with your insurance company will help you remain in the know on what happens on your policy.

• Fill out ALL the boxes in your forms. –even if you are just purchasing a cheap life insurance plan, it is important that you fill out all the boxes in your forms. If there is nothing to write, you can always write a dash or Not Applicable or simply NA. Do not ever leave it blank or you will just give fraudsters an opportunity to cheat and get money from you. There is a possibility that it will be filled out by someone else and make it look like you have written it out. Of course, when you write something, you have to ensure that you understand what you are putting in the paper and what is it for.

• Dispose your important documents properly. –you have to make it a habit to dispose all necessary files especially your old insurance policies appropriately. Otherwise, you will just be enticing hoaxers all the more to have you as their next victim. This is the primary reason why shredder is invented. You have to take advantage of the technology. Those which are still of use can be stored into a safe which combination is secure or to a safety deposit box at the bank. Always keep all your documents far from possible fraudsters.

• Do not be lazy with writing your signatures. –your signature is very important as you will need it for simple to major transactions that you will engage in like purchasing a life insurance no medical exam. You cannot easily change it. It is not like your shirt that you can keep in your closet when you do not feel like wearing it. Your signature is something that can give you identification. It is only but proper to make certain that forgers will find it easy to falsify it. Do not just scribble. It is much easier to identify if a signature is forged if it contains your initials and your handwriting.

With these tips in mind, you can be certain that you will be protected from life insurance fraudsters. Help yourself by staying on the alert about such acts.

Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on cheap life insurance rates and online life insurance, visit his site today.

Things to Consider in Buying Low Cost Term Life Insurance

Low cost term life insuranceis perceived as the cheapest type of policy as it offers the lowest premiums. However, there are instances that this alternative will not fit your bill as it cannot provide your family the sufficient coverage that they need. There are many things that you ought to consider before you buy such a plan. These will affect the monetary death benefit that you are aiming for your family to have when you meet your Maker. Below are some of the factors that you should take into account so that you can be certain that you are getting the most out of your money.

• Life expectancy –this will affect the premiums that you will most likely pay once your application for term life insurance gets approved by the carrier. There are four factors that determine your life expectancy. It includes age, heath, occupations and lifestyle. Each of them is briefly explained below for your proper guidance.

1. Health –health is one of the most important factors in assessing the insurability of the applicant. You will most likely have lower premiums the healthier you are. It is ideal that you are perfectly healthy. However, in most cases, prospective policy holders are not 100% physically and mentally healthy. Whatever the standing of your current health is, it is important that your carrier knows about it. Thoughts of lying to them should not be entertained as you will be subjected to medical exams so there will be no sense in claiming that you are healthy when you are really not.

2. Age –younger people tend to get lower life insurance quote. This is primarily because they have higher life expectancy. Undoubtedly, they are healthier as they are still in their prime compared with people who are already on their 40’s. It is less likely that they will be sick. There are higher probabilities that they can outlive their low cost term life insurance and this would mean more revenue on the part of the carriers as they would not need to pay for the death benefit if he policy holder dies after the expiration of the plan.

3. Occupation –your job is also an important thing that you ought to consider. Some carriers require that you have a stable job when you are applying for any policy. Remember that insurance life plans are being paid for a certain number of years. Your occupation must give you a constant flow of income so that you can always pay your premium especially if you are the breadwinner of the family. It would be a waste of money if you will stop paying for your plan just when you are already halfway on the term length.

4. Lifestyle –this would entail health habits and activities that you are fond of or you have been engaging into for some time. More often than not, people have unhealthy lifestyle that they have developed. This includes smoking, drinking alcohol, food choices that are not smart and engaging into dangerous sports. One implication of all these bad habits combined is higher premiums even when you are young. This is because such factors would decrease your life expectancy. If your health has significantly deteriorated due to this, you may think of opting for life insurance no exam.

• Inflation –it is a known fact that the economy is plummeting and it looks like it will not get better soon enough. It has devalued the money for some extent. This has a good and a bad effect for policy holders today and future policy owners. The downside is that the death benefit that your family will receive upon your death may be lessened 15 years from now. Even if the amount will not be reduced, the value of the money will be due to inflation.

The good thing about it is that the future policy owners would pay “lower” premiums even if the figures on the rates will not change. It is all in the value of the money years from now. A monthly premium amounting to $90 that you are paying for now might be perceived as lower if the value of the dollar will continue to reduce. This matter about inflation must be viewed whenever you are thinking of buying whole life insurance and term life.

These things should be kept in mind whenever you are trying to purchase low cost term life insurance so that you can get the most out of your money.

Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on term insurance and seguros de vida usa, visit his site today.

Spotting Fraudulent Life Insurance Term Plans

It is sad to think that life insurance term fraud is very rampant even though the authorities have been doing everything they can in order to abolish it. Being a victim can be very costly. It can certainly put innocent families and honest firms into financial disarray. At times, it can even cost lives. The cases of life insurance fraud have been escalating as the people behind it continue to devise new crafts to lure unsuspecting individuals. Results of this have been devastating. You can protect yourself by being vigilant, through being able to discern what will get you into serious trouble. Below are some common signs you should keep an eye on.

• False agents –milestones in the information technology have paved the way for major developments in the insurance sector. Anonymity is one factor that can be both an advantage and disadvantage to persons who want to be a policy holder. Since there are applicants who do not feel comfortable talking to an agent face-to-face, they prefer to obtain quotes and buy policies online. However, false agents or hoaxers have made it difficult to individuals to discern which can be trusted. Be wary when an “agent” asks for any upfront fees without finishing the deal first.

• Claiming to be licensed –innocence can be quickly claimed, and so is being licensed. Keep in mind that everyone who offers low cost term life insurance can assert that they are licensed by the proper authorities. They may even present a fake document providing “proofs” to their claims. Make certain that you have consulted your state insurance department and business bureau before you transact with any insurance company especially to those whose name you have not heard of. There are high probabilities that they are merely scammers posing as a genuine carrier.

• Selling insufficient coverage –some agents make a practice out of selling insufficient coverage to their victims. This is why it is very essential that you have an idea on what is being sold to you so that you would not be ensnared by their modus. Make it a habit to read and understand what the inclusions of your coverage are. You can check in with the company itself or you can verify it with somebody that you are certain to be knowledgeable enough about the subject matter. In perilous times, you always have to watch your back.

• Letters stating that your coverage is lapsing –if you have a term life insurance no exam and you missed out on some due premiums, it is but only natural that you will receive some letters reminding you of your neglected duty. However, if you have already settled the remaining amount and you still repeatedly receive a letter stating that your coverage is lapsing or have already lapsed, you have to act on it at once as there is clearly something wrong happening. What you should do is to work with your carrier regarding the matter so it will be addressed immediately.

• Snatching Premiums –there are some hoaxers that pose as “collecting agents” of your carrier. They would seek to collect premiums over the internet by asking for your personal details such as social security number and credit card number. They will get your money but it will not be remitted to the carrier. Be wary of such groups. Before giving out your sensitive information, you better verify it with your carrier if they indeed have that new collection facility. Suspect if you have not yet even heard of any news about it. Normally, if an insurance company will launch something new, they will inform their policy holders through sending a letter together with their statement of accounts so that it will not be missed.

• Phony Websites –it is easy to have a web presence nowadays. There are fraudulent companies that are just after your money. Just because you have seen a “carrier” online, it does not mean that they are legitimate. For all you know, their website is fictitious. They may even have “customer reviews and ratings” to look like they are authentic. The key here is to look for what they do not have instead of what is in their site. The address of an encrypted webpage that can be trusted starts with http://. Also, they must have contact details which you can use in verifying them.

Be cautious whenever you are obtaining term life insurance quotes. Keep these signs in mind and be always on the alert. If you are unsure about any transaction, its better to verify it than to be sorry.

Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on term insurance and seguros de vida usa, visit his site today.

Group Term Life Insurance 101

Group term life insurance is a type of policy that most companies purchase and gives to their employees. The insurance plan is included in the staff’s monetary benefits. Normally, the firms do not seek either any effort or opinion from their personnel regarding the purchasing of such policy since the first will shoulder most of the premiums. Since it is term life, the plan is expected to expire upon the retirement of the policy holder, which is usually at the time they reach 65. It is important that the employees also know about this matter as it concerns them. This article covers all you need to know about group term life insurance and how it can benefit both parties.

• Who can benefit from the plan? –primarily, the employee’s beneficiary will be the recipient of the monetary death benefit upon the policy owner’s death provided that the coverage is still in effect. The money can be allotted for the burial and funeral expenses or other things that they deem fit. However, if the employee chose to opt for the Dependent term life insurance, the first will receive the lump sum payment when one of his dependents meets an untimely demise.

• Why do companies choose such a policy? –This is because it is an affordable term life insurance plan that the firms can purchase for their employees. This is their way of drawing personnel and making them stay for long and still being able to minimize their costs. Since it is included in the benefits package, the staffs would feel more secure with the company. It is more likely that there will be less turnover rates if the firm can come up with a plan that has higher face value. Generally, corporations can purchase a policy that costs as much as $200,000.

• Does group term life insurance have varieties as well? –Like other term life plans, it has variations. One of which is voluntary group term. It grants the staffs the right to decide whether to buy supplementary plans for themselves and/or for their dependents. The payment will not be shouldered by the company of course but since the plans is availed together with a cluster of policies, the primary benefit the staff can have is lower premiums. Another is employee accidental death benefits. This is an addition to the primary term life plan and granted only to those who holds a position that entail hazardous tasks.

• Will it require a medical exam? –More often than not, no medical life insurance

is the same with group term life insurance as the employees do not have to undergo a medical exam in order to qualify for that plan; neither will they be asked medical questions. All they have to do is fill out the essential application forms. The carriers will not deem this transaction too risky as prior to hiring the employees; they are already subjected to a health check up by the company they will be working for. It is unlikely that an applicant will be hired if he is not physically fit for the position.

• Who will pay for the premiums? –most of the premiums are paid by the company. However, at times, a small percentage will have to be shouldered by the employees. The payments are normally deducted to their monthly wages. The amount to be collected will differ depending on the type of policy that the employer chose or on how many insurance plans the employee purchased. Naturally, if the staff bought several policies, higher premiums will be collected from him.

• What happens to the plan when the employee resigns? –When the employee resigns or gets terminated, it will be upon his discretion whether to continue paying the premiums. Should he decides to do so, he should ask his carrier if he has the option to consolidate all his existing insurance plans including the one from his former company and ask for a life insurance quote so that he would know how much he would pay. This way, he would be able to save on the premiums and no money will be wasted.

Choosing the carrier to employ will be the responsibility of the companies. Purchasing policies in bulk does not differ much with buying a single one. However, since it involves more money, the firms should practice greater caution. Even if the premiums are non-taxable, it will just go to waste if the employers will be transacting with a hoaxer.

Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on term insurance and seguros de vida usa, visit his site today.

What Affordable Term Life Insurance Should Have?

Everyone is in the hunt for the most affordable term life insurance. Who does not want to save money after all when making both ends meet seems to get harder each day? However, not all prospective policy holders obtain what they want. Why? This is because they are easily lured by the first “lowest” quote that they stumble upon. Although that rate may be the lowest from what you have seen, it may not be what it appears to be. You have to be able to discern which life insurance plan you can save the most. Below are the things that you should look for in an affordable policy.

• It has the best possible coverage. –some policies may have the lowest quote but the features are lacking. You may argue that you just get what you pay for. But would you rather stick to that kind of policy if you can have a better one in just a slightly higher premium? Look carefully at the features of the plans that you are comparing. For all you know, that small difference between the two rates may be the big difference. You can sometimes save more in the long run with a policy that has better features.

• It has the ability to meet the needs of policy owners. –this is one of the most important things that you should look for when you are obtaining a life insurance quote regardless of the type of policy that you are eyeing on. Your plan, no matter how much good it may be, is of no use if it does not have the capability to fulfill your needs. Of course, you must figure out first what are your needs so you will be able to determine if that certain policy that is being sold to you fits the bill.

• It has the lowest possible premiums that will only slightly increase overtime. –the colossal mistake that most people commit is that they choose the “lowest” premium they see without even reading the fine prints. Even if you are getting a quote online, it will be indicated by the carriers if that certain rate has the tendency to increase eventually. Some might be low initially but they might double up in the long run. Better yet, you must compute all the rates and compare it with the face value. Choose the policy that has the better features and a total value that corresponds with your ability to pay and needs.

• It is offered by reputable carrier. –when you are shopping around for no medical life insurance or any other type of plans, you must keep in mind that you must be obtaining rates only from the carriers that have established a good reputation. This is because the mere fact that you have searched their website, it means that you have an interest to buy from them. You have asked for a quote from their firm because you consider them. Remember that an affordable life insurance plan is the one that can deliver results. Otherwise, your money will be put into waste.

• The insurance company has a sound financial standing. –even if your company is reputable, you will still have some worries about the security of your family and the money that you have been paying for the premiums if the insurance company do not have financial strength. You must be keen with news regarding their major decisions that have financial implications. Imagine how you would react if you will just learn one morning that they will file for bankruptcy. Always be in the know about their current standing as you would be affected by it regardless of how long you have been paying them.

• Its term and conditions has clarity. –a low cost term life insurance should not just have cheap rates. Its terms and conditions must be clear as well. It is very important that you have read AND understood the fine prints so that you will not be committing grave mistakes without your knowing. Otherwise, you might just be surprised that your policy has lapsed. In addition, there are deaths that are not honored by some carriers. Purchasing a policy will lose its essence if your family would not be able to receive the death benefit that is due to them in the event that your carrier contests your dependent’s claim due to a big mistake.

These are just few things that you must look for in order to conclude that a certain policy is affordable indeed. Bear in mind that once you get the deal done and you paid the first premium, you will be locked into an agreement until it expires.

Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on life insurance and instant life insurance, visit his site today.

Your Guidelines in Life Insurance No Medical Exam

Much have been written and said about life insurance no medical exam. However, some people are still confused on this type of policy because of erroneous information that they obtained from unreliable sources. In a nutshell, the very name suggests what it is about. It is a type of plan wherein conducting a medical test prior to approval of application is no longer necessary. In this article, the guidelines regarding life insurance no exam will be presented for the awareness of the prospective policy holders like you who might have plans on buying this plan.

Who can qualify? –it primarily caters to people who are young yet ill want to be insured, elderly people who already have serious medical conditions and to those individuals who have been living an unhealthy lifestyle yet do not want to change the current habits. However, it can also cater to persons who are physically well but cannot find the time to undergo a medical examination just to evaluate their insurability due to lack of time or any other reason.

Two basic types

• Standard life insurance –there is permanent life version of life insurance no medical exam in contrary to what most people think. However, not all carriers offer this type of policy. This is because there is not much market that can be catered. Definitely, it has higher life insurance quote compared with its opposite number as even the standard permanent plans already have higher premiums. Since it is permanent, this type of no medical insurance will be legal and binding until it expires upon the death of policy owner.

• Term life insurance –the coverage of term life no medical exam, as opposed to permanent life plans, will only be in effect for a specific period of time depending on how many years the policy holder prefers. Normally, term life plans are available in 10-year, 15-year and 20-year terms. But these will differ from one insurance company to another so you need to check with your preferred carrier to figure out what your options are. Term life insurance no medical plans are often applicable for senior citizens due to the possibility that they will not be living for long.

Pros

• No medical exam –of course, as it name implicates, there is no medical exam that the possible plan owner should go through before the application is approved or declined. There are a few reasons why most people do not want to go through medical test. It includes fear. Some individuals are either afraid to be examined by doctors lest a disease will be diagnosed or some has a thing for needles which cannot be avoided.

• Fast and easy underwriting process –normally, when you are applying for whole life insurance and term life, it will take you 6weeks at the most before insurance companies can arrive into a decision. But in no medical life insurance, it could only take you just a few days. It promises ultimate convenience. You can even apply for one online so you would not have to allot special time for going to your preferred carriers.

Cons:

• Higher premiums –this may be the biggest drawback in this type of insurance. There are only few disadvantages of no medical life insurance. Definitely, this is not designed for people who do not have the means. The high premiums you will pay will help lessen the risk that the carrier has to shoulder the moment they approve their application. This is because a big percentage of people who avail this plan are in close proximity to death due to old age or sickness. The premiums will help the carriers cope up should the plan holders die at the earlier part of the plan.

• Presence of medical questions –if you are purchasing the guaranteed issue no medical life, you can be certain that your application will be approved no matter what. However, there are other forms of this type, the simplified and graded benefits. These variations of such plan will not make you go through medical test. However, you will still be asked with questions pertaining to your medical history if any, or the background of your family in the same aspect.

Unlike in low cost life insurance plans, you will be paying higher premiums with life insurance no medical exam. So if you are able and you are planning to avail this plan just because you do not have the time, you better rethink as this plan is not for everyone.

Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on life insurance rates and instant term life insurance quotes, visit his site today.

Choosing your Life Term Insurance Provider

Choosing your life term insurance provider is very important to the financial security of your family when you die. Since it is that vital, you cannot afford to make the grave mistake of paying your premiums to a carrier which would just put your money into waste in the near future. Keep in mind that insurance policies are not being paid just once unless you have that big amount of money. Even if you are paying the total face value of the plan in just one time, you must give it to the right carrier or you will be doomed to failure. Below are some of the criteria that you should use in deciding which insurance firm to employ.

• Credibility –the credibility of a company can give you a hint on what would you most likely experience with them once you transact with them. Their reputation can indicate their practice and this will also tell something about their business ethics. You must not delve solely into their developments or the awards that they have received. You should also look upon the ratings given to them by third parties such as their own clients and independent organizations that give ratings to carriers. Their agents may have some bias but you can deduce something from them if you can read between the lines.

• Financial strength –this is a major determinant in ensuring that your preferred carrier can be entrusted with your hard-earned money. Those with sound standing can provide cheap term life insurance quotes. This can be quite tricky though. It may be hard for an average Joe to comprehend the factors that affect the financial strength of insurance company. While it will not take a genius to understand the implications of the performance of the carrier’s profits such as stocks, you may have difficulty in dealing with realizing what a merger with another insurance company will incriminate and to other financial decisions.

• Authenticity of essential business documents –this is one of the things that prospective policy holders must and can easily do. One way to certify that a carrier is not a hoaxer is to check their pertinent documents. All you have to do is to go to your state’s insurance branch and verify if your preferred insurance company is registered and has the permit to operate. Such firms must be licensed by the state. Some offices use their web facility to conduct this service. Check their website so you do not have to bother yourself by going to their office.

• Complaints filed against them –in choosing your insurance company, you also need to look on the cases filed against them before you even start obtaining a life insurance quote from them. You can view the complaints charged on your state insurance department too. Take time to see what the natures of the cases are. Can it be blamed on merely ignorance on the part of the complainant or the carrier was at fault? See if there was a repetition of one case. You can make many inferences about the profile of the insurance company just by reviewing these mattes.

• Membership from independent certifying bodies –there are certain independent bodies that certifies carriers such as Insurance Marketplace Standards Association. It is a plus point for the company if they are a member of organizations such as the one mentioned herein as it would add up to their credibility. Being a member of certifying bodies needs compliance to the association’s strict guidelines, one of which is good business practice. You must not view the carrier’s membership as the sole basis in choosing them though as this alone cannot attest their credibility.

• Cost Index –this is the comparison of the projected revenues that you could earn if you will purchase the policy being offered such as term life insurance no medical exam and how much income you would most likely generate if you did not invest. In order to determine the difference, the surrender value and projected revenues’ value will also be compared. There is a number of ways of computing for this. Higher projected earnings would mean making more money with the policy. The carrier that offers the highest value of assumed revenues on the same policy can be considered.

These are just some of the factors that you need to consider when you are deciding which company you should be working with. This criterion can help you ensure that your money and your family’s coverage will be in good hands.


Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on life insurance and term life insurance quotes, visit his site today.

Types of Deaths that Term Life Won’t Cover

The primary purpose of term life insurance and other types of policies is to provide a cash death benefit to the dependents of the plan holder. You are paying the carriers for a certain period of time just so your family will not be troubled financially upon your demise. Knowing that they are covered may not assuage their grief for your loss but at least it will not add up to their plate. If there is a lump sum payment that will be given to them, they would not have to look for funds that they will use for your burial and for their everyday living expenses. However, there are certain types of death that your carrier will not honor. Below are some of them.

• Suicide –insurance firms are keen with killing one’s self. More often than not, they would include in the terms and conditions the bond that specifies that the beneficiary will not receive anything from them if the plan holder will commit suicide anytime from the first two years of the policy even the insured person do not miss any payments. This is to protect the insurer from the risk of paying the whole face value of the term life should the plan holder kills himself. After the bond expires and he commits suicide, the insurance firm will just pay out the premiums he paid.

• Death due to war –war is man-made incident. Even a low cost life insurance will not cover such type of death due to apparent reason. It is very unlikely that you will purchase a plan in a carrier based at the other side of the world. If a war will break out in the country you are living in, your carrier will be affected as well just like everyone else. Even if they want to pay out the dependents, they might not have the means. In addition, there is a low chance that claiming for the death benefit will be your dependents’ primary concern.

• Aviation inclusion –if you will be riding in a private aircraft and it crashes, your carrier will not pay out the cash death benefit should you die. This is because you cannot deprive the insurers the privilege to think that the death is planned especially if the plan is still in its early years and you have been in serious financial disarray. Of course, this clause does not include policy holders who died in commercial aircraft crashes. Some carriers differ with their stand though to deaths caused by accidents concerning chartered planes so you must clear this with your insurance firm especially if you are a frequent flyer.

• Death because of hazardous doings –people who are into hazardous activities tend to get higher life insurance quote. Even if they get insured, their beneficiary will not receive a payment if they will meet their demise due to such doings. This is because the death may be likened to suicide. It can be counted as self-inflicted as one will have lesser probability to die if he would refrain from unleashing the daredevil in them. Most insurance differ with their views on what specific activities they consider dangerous so you should check in with your carrier. The common ones include sky-diving, auto racing and hang-gliding.

You might be surprised that the beneficiaries of policy holders who died from HIV will receive a death benefit. This is one of the biggest misconceptions of the public, that people who have the fatal disease can be insured. Although it is understandable that such individuals would certainly pay for higher premiums, they can ensure that their family will be covered upon their demise. There are a few factors though that the insurance firms would consider.

For an instance, they may require applicants with such condition to submit a certified document from the latter’s medical provider that they are indeed positive with the mentioned disease and that they are taking the necessary actions to address such problem. This means that HIV-positive persons who want to be insured must already be seeking medical attention prior to their application to the carriers. This will lengthen the time that the prospective policy owners can pay for the premiums even if they will not be able to outlive the term. They might not be subjected to medical test like in a term life insurance no medical exam.

You must clarify what other types of death that your carrier will not honor as it could differ from one insurance firm to another. This is important so that you can ensure that your family will stay covered. Otherwise, you would put your money into waste.

The primary purpose of term life insurance and other types of policies is to provide a cash death benefit to the dependents of the plan holder. You are paying the carriers for a certain period of time just so your family will not be troubled financially upon your demise. Knowing that they are covered may not assuage their grief for your loss but at least it will not add up to their plate. If there is a lump sum payment that will be given to them, they would not have to look for funds that they will use for your burial and for their everyday living expenses. However, there are certain types of death that your carrier will not honor. Below are some of them.

• Suicide –insurance firms are keen with killing one’s self. More often than not, they would include in the terms and conditions the bond that specifies that the beneficiary will not receive anything from them if the plan holder will commit suicide anytime from the first two years of the policy even the insured person do not miss any payments. This is to protect the insurer from the risk of paying the whole face value of the term life should the plan holder kills himself. After the bond expires and he commits suicide, the insurance firm will just pay out the premiums he paid.

• Death due to war –war is man-made incident. Even a low cost life insurance will not cover such type of death due to apparent reason. It is very unlikely that you will purchase a plan in a carrier based at the other side of the world. If a war will break out in the country you are living in, your carrier will be affected as well just like everyone else. Even if they want to pay out the dependents, they might not have the means. In addition, there is a low chance that claiming for the death benefit will be your dependents’ primary concern.

• Aviation inclusion –if you will be riding in a private aircraft and it crashes, your carrier will not pay out the cash death benefit should you die. This is because you cannot deprive the insurers the privilege to think that the death is planned especially if the plan is still in its early years and you have been in serious financial disarray. Of course, this clause does not include policy holders who died in commercial aircraft crashes. Some carriers differ with their stand though to deaths caused by accidents concerning chartered planes so you must clear this with your insurance firm especially if you are a frequent flyer.

• Death because of hazardous doings –people who are into hazardous activities tend to get higher life insurance quote. Even if they get insured, their beneficiary will not receive a payment if they will meet their demise due to such doings. This is because the death may be likened to suicide. It can be counted as self-inflicted as one will have lesser probability to die if he would refrain from unleashing the daredevil in them. Most insurance differ with their views on what specific activities they consider dangerous so you should check in with your carrier. The common ones include sky-diving, auto racing and hang-gliding.

You might be surprised that the beneficiaries of policy holders who died from HIV will receive a death benefit. This is one of the biggest misconceptions of the public, that people who have the fatal disease can be insured. Although it is understandable that such individuals would certainly pay for higher premiums, they can ensure that their family will be covered upon their demise. There are a few factors though that the insurance firms would consider.

For an instance, they may require applicants with such condition to submit a certified document from the latter’s medical provider that they are indeed positive with the mentioned disease and that they are taking the necessary actions to address such problem. This means that HIV-positive persons who want to be insured must already be seeking medical attention prior to their application to the carriers. This will lengthen the time that the prospective policy owners can pay for the premiums even if they will not be able to outlive the term. They might not be subjected to medical test like in a term life insurance no medical exam.

You must clarify what other types of death that your carrier will not honor as it could differ from one insurance firm to another. This is important so that you can ensure that your family will stay covered. Otherwise, you would put your money into waste.

Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on term life insurance for seniors and instant term life insurance quotes, visit his site today.