Term Life Insurance Q&A
- Why should I choose BeyondQuotes?
- Which companies do we represent?
- Is BeyondQuotes licensed where I live?
- Is my information confidential?
- Do you only offer rate quotes?
- How do we choose which companies to represent?
- How much Term Life Insurance do I need?
- What are "level" policies?
- What should be the term length?
- Is it worth insuring my spouse on my policy?
- Can you explain the difference between Term and Whole Life plans?
- I suffer form a pre-existing condition. Can I still be insured?
Applying for a Policy
- How do I apply for Term Life Insurance?
- How do I find the best value plan for my needs?
- What is the waiting period between applying and coverage?
Variable Life Insurance
What You Need to Know About Variable Life Insurance?
Variable life insurance, variable universal life insurance, as it is often referred to is a type of whole life insurance that offers some of the flexibility as a universal life insurance policy.
The whole life insurance aspect of these policies is that there is always a guaranteed payout when the policy is issued. It is also a type of permanent insurance that is insurance that does not have to be renewed and is usually available for the buyer's entire life.
As with term life insurance, part of the premium is invested so it can gain in value over the years. This is called cash value. The cash value can also be borrowed against if money is needed before the buyer's death.
Probably the biggest advantage of these types of policies is that they are tax exempt investments. Meaning that the money you put in to the premiums and the cash value that appreciated is not taxed until money is taken out of the policy or the policy is collected.
Variable life insurance policies are a fairly new development in the life insurance industry. With competition ever increasing in the market, it is ever more important for insurance companies to get an edge with their competition. We, as insurance consumers, are benefiting from these new optional policies by giving the buyer better choices at better prices.
If used as an investment tool it you must understand that while the policy may go up in value, it is tied to the stock market and there is always the possibility that the cash value of the policy will go down in value. This is a risk that most buyers are willing to make. Over history the stock market has always gone up in the long run. You also usually have the option of selecting where your money is invested. The buyer can also change the investment strategy a few times a year if necessary.
Even if the worst happens and the cash portion loses some or all of its value, you are still able to collect on the death benefit portion of the variable life insurance policy.
With so many life insurance options available it is absolutely necessary for you to investigate all the possibilities available to you. It can be very confusing with all the different terms used by the life insurance industry. While these terms may be a bit overwhelming, luckily there are many sources of information to help you find the policy that fits your needs the best.
The internet is loaded with all kinds of information about life insurance. You must be aware though, that even though there is a lot of information available on the web, there are also a lot of scams on the internet. While searching for information it is best to stick to websites that are not affiliated with a particular insurance company. There are many websites available that only give information. For now, stick to these. You can look for prices on the web after you have done your initial research.
Life insurance agents themselves are also a good source of information. But, again, you have to be careful. Don't fall for the hard sell. Insurance agents are salesman, and a lot of them are very good. If you are an easy target for salespeople in general you may want to avoid having one of these agents come to your home. While the majority of life insurance agents are reputable sources of information, there are still some sharks swimming in the water.
Most agents will be more than happy to fill you in on the details of variable life insurance. They will also explain all the other options you might have.
Variable life insurance is a great option for those who are seeking both a guaranteed life insurance benefit with the flexibility of a universal life insurance policy. Now is a great time to invest in life insurance, and one of the best options available is the variable life insurance policy.
Again, with all things in life these days, you have to protect yourself from disreputable life insurance peddlers. However, if you do your research and explore all your options you will be able to make a decision you will be happy with.