Archive for the ‘Term Life Insurance’ Category
December 27th, 2010 | 
Author:
As is obvious from the name, whole life insurance is a permanent life insurance covering the whole life of the policy holder with timely premium payments, as long as the policy holder is alive. Whole life insurance is apt for those who plan on long term goals.
Though Term Life Insurance has gained popularity due to various reasons, whole life insurance cannot be set aside entirely as it has a lot of advantages to its credit. Primarily whole life insurance guarantees the death benefits that never decrease and nonfederal income taxes are charged upon death and lasts an entire lifetime which is a good advantage.
Premiums are generally a little higher than a term life insurance and as the age progresses, the annual premium tends to lessen. As against term life insurance which has no cash value, whole life insurance has some money stored as cash value. If the policy is terminated, accumulated guaranteed cash would be paid. It is also feasible to take loans against the whole life insurance policy. The guaranteed cash values can be used for emergencies and temporary needs. The cash value increases as the premiums are paid.
When a policy holder has a participation in whole life insurance, he or she is eligible for earning dividends which would be paid in cash. This cash can be either used to keep within the policy to generate interest or used to minimize the premiums. All the cash that are accumulated or borrowed are on a tax free basis except when it is withdrawn.
Whole life Insurance policies can never be struck off by the insurance company. As the whole life insurance policy gets older, the surrender value becomes more or less the amount that has been paid and thus, the cash value along with the dividend far exceeds the premium that have been paid.
The dividend from a whole Life Insurance can also be used to purchase paid up additions that are small, fully paid up whole life policies. Whole life insurance quotes are available online which give the convenience of getting the policies instantly and urgently. The encouraging factor is that almost all reputed companies are offering whole life insurance quotes online and it becomes easier to compare the various offers and choose the best suited.
Whole life insurance is not only a tool to protect the dependents after the demise of the policy holder; it is also a way of saving for the future and has an emotional attachment to it. Hence, sufficient thought and time have to be spared to get the best quote and option available and decide accordingly, to ensure a secure future and a comfortable present life.
Lesley Lyon
http://www.articlesbase.com/insurance-articles/advantages-of-whole-term-life-insurance-697007.html
Posted in 
Securing quality term or whole life insurance coverage is important, especially if there are people in your life whose financial stability depends on your income. Many financial experts even consider life insurance to be the foundation of sound financial planning. Find out six reasons why you should purchase whole life insurance or Term Life Insurance to protect your family and loved ones.
1. Income for Dependents
If people in your life depend on your income for financial support, having a whole life insurance or term life Insurance policy in place will protect them in the event of your death. Life insurance can replace your income for your dependents so they aren’t left bearing the financial burden of an income lost through death. This applies most often to parents with young children, but is also applicable to couples if the death of one partner would leave the survivor financially stricken. If your parents, adult children, or siblings are your dependents, life insurance can also provide replacement income to benefit them. And, if your surviving spouse or domestic partner’s government or employer-sponsored benefits will see a reduction after your death, having life insurance to replace your income can definitely be useful.
2. Coverage for Final Expenses
Funeral and burial costs can be expensive, but your life insurance can cover the costs. Carefully planned life insurance will also provide funds to cover mortgages and other expenses. Debts and medical expenses not covered by Health Insurance can also be covered by your life insurance. Life insurance offers protection to the dependents you leave behind, since it can sometimes be utilized as a cash resource.
3. Create Inheritance
Life insurance can allow you to create an inheritance for your immediate relatives or heirs. Even if you don’t have any other significant assets to pass onto your surviving family or loved ones, you can create an inheritance by naming your heirs as beneficiaries in your life insurance policy.
4. Pay Estate Taxes
Rather than leaving your surviving family to take a smaller inheritance or do away with some assets, have a quality life insurance policy in place so the benefits can pay estate taxes. Some life insurance plans provide tax free cash that can be used to pay estate taxes and death duties.
5. Create Source of Savings
Your life insurance can become a sort of savings plan since some types of insurance can create a cash value that is available for withdrawal upon the owner’s request. Another benefit of this “forced” savings plan is that the interest credited is tax deferred, and if the money is paid as a death claim, the interest can be tax exempt (www.iii.org).
6. Make Charitable Contribution
By naming a charity as a beneficiary of your life insurance, you can make a larger contribution than if you donated the cash equivalent of your policy’s premiums. Donating a term life insurance policy allows you to deduct the cost of the premiums from your taxes. And, if you donate a whole life policy, you can deduct the cash value of the policy and the cost of the whole life insurance premiums. In both cases, after you die, the charity you select gets the insurance policy proceeds.
Plan ahead and ensure that you have a quality life insurance plan in place to protect your family.
Ryan Patterson
http://www.articlesbase.com/finance-articles/6-reasons-to-buy-whole-life-insurance-or-term-life-insurance-531417.html
Looking for Term Life Insurance to protect your family, but want to make sure you get the best rate? The easiest way to compare term life Insurance rates is to take advantage of the power of the internet. Here’s how …
Compare Quotes Quickly
Life Insurance is a necessary expense, especially if you have a family to take care of. But you want to make sure you get the best insurance you can for the best rate possible. This means you need to be able to compare rates and plans from several different insurance companies as insurance rates can vary widely from one company to another.
The best way to compare term life insurance rates is to go to an insurance comparison site. These sites are linked to hundreds of insurance companies. All you do is go online and fill out a simple questionnaire, and you’ll receive quotes from several different insurance companies that match your needs.
Advantages of Using an Insurance Comparison Site
What are the advantages of using an insurance comparison site to compare term life insurance rates?
* You can get fast quotes from several companies, which means you’ll be able to choose a policy and enjoy the security of term life insurance sooner.
* You can easily change items such as the amount of insurance to see how your rate will change.
* On the best insurance Web sites, you can chat online with insurance professionals who are ready and waiting to answer your questions and help you pick an insurance company. (See link below.)
* Insurance comparison sites do not receive commissions from the insurance companies for selling you a policy. They have no reason to try to sell you on a particular company or to try to sell you more insurance than you need.
But the best thing about these insurance sites is that their service is completely free to you!
Visit http://www.LowerRateQuotes.com/life-insurance.html or click on the following link to compare term life insurance rates and see how much you can save. You can get more insurance tips in their Articles section.
ryan@thesatellitetvguide.com
http://www.articlesbase.com/insurance-articles/where-to-compare-term-life-insurance-rates-to-get-the-best-140716.html