Why People Are Increasingly Looking For Instant Term Life Insurance Quotes

Universal life insurance is also referred to as flexible premium adjustable life insurance. This policy protects the well being of your family by having both a death benefit and a good savings plan. Since the term used is universal the policy covers almost all people and does not have a fixed term like a term life insurance does. It continues from the time a person applies for it until his or her death, as long as the holder pays his premiums regularly without defaulting.

Universal life insurance is divided into two the first is a pure death benefit and part of the premium amount goes towards building up of this coverage amount. The next part is the savings account into which the other part of the premium amount is deposited and interest accrues to the policyholder on a yearly basis. A great benefit of universal life insurance is that the premiums can be flexible and coverage is provided from both the savings account and the premium. Another benefit is that the insurance company will repay a part of the coverage amount every few years.

Moreover, the policy is not only flexible in its premium payment mode, but if everything is all right with the insured, the death benefit too can be altered. However, the policy has some negative points too. These policies are overpriced to allow cash value accretion and so many find it difficult to continue such a policy through out their life. Moreover, the return depends on the company's market performance and so may vary widely. Thirdly, premature termination of the policy may cost you a lot; so beware of that too.

In fact, many people prefer to go with a pure insurance policy like term life insurance and keep the remaining savings to invest in savings plans of your choice. They feel safer having control over their investments rather than leaving it to a third party to invest in schemes of their choice. Before deciding on opting for universal life insurance, request a life insurance quote on line from several reputed insurance companies, calculate costs and then go for it only if you feel you can afford it and that it will protect your family's future.

Indeed, today, the popularity of the term life is growing among discerning buyers because it allows them to keep their insurance and investment separate. Since these are pure death benefit and do not require any diversion of funds, you can use such policies to cover all your financial responsibilities such as dependent care, children's education cost, mortgages, loans, final expenses etc. at a very low rate. Moreover, these policies are valid for a limited period and so you can buy the policy to cover you vulnerable years only. This also is a reason why the policy is so cheap.

Today, we have different types of term life policies. Among them, the level term life insurance policies, which are sold for 5/10/15/20/25/30 years, are the most popular type. They are called so because their rates remain level for the entire tenure of the policy. The instant term life insurance quotes that are available with most online brokers belong to this group. There are annual renewable policies too; under such policies, the rates keep on increasing as you keep on renewing your policy. Some other popular variations are:
Decreasing term life
Convertible term life
No medical life insurance

In decreasing term, the coverage amount will keep decreasing over time. Those who have financial obligations like repayment of a loan will take this policy and try and coincide the time with that of the loan. While the coverage reduces, the premium amounts will remain the same. Some people add critical illness coverage to decreasing term life insurance that will ensure they get paid a certain amount when diagnosed with a critical illness.

The no medical life insurance is also unique policy. Such a policy has the shortest possible overwriting process and so if you buy one, you can have instant term life insurance protection, albeit at a higher rate. Because these policies exempts you from taking medical test, they turn out to be rather risky for the insurer; the higher rates are there to compensate such extra risk. If you want the coverage at a reasonable rate, avoid such a policy. Moreover, whatever policy you buy, buy it when you are still young and healthy. What is more, make sure it covers the vulnerable period completely. Buying fresh coverage later in life will be anything but cheap.

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