Posts Tagged ‘Personal Finance’
Sunday, January 8th, 2012
Most people want to give the best for their family. This means that they will do anything and everything in their power to provide for their family. One of the best investments that a head of the family can get is to give his/her family financial assurance in the future in the event of his/her death. One can do it by purchasing a life insurance policy. There are two main types of life insurance policies to choose from.
The permanent life insurance will offer insurance coverage to a policy holder from the instance that the policy was purchased until the policy holder dies. One advantage of this type of insurance is that there is no expiry date on the coverage and the family or designated beneficiaries will be assured that the cash amount will be given to them.
The life insurance term life insurance policy on the other hand is a policy that offers policy holders insurance for a specific period of time. The term period will range from 5 years to 10 years. The policy holder’s beneficiaries will receive the death benefits just as long as the policy holder’s death will fall within the term of the policy.
Most insurance companies that offer these two policies will ask thier potential policy holder to pass a pre-screening medical exam before offering him a policy. The medical exam that they will undergo will be comprehensive and will be administered by a company appointed physician. Most people will feel that a pre-screening medical exam is bothersome. However a medical exam may prove to be more advantageous to most people.
When a policy holder undergoes a medical exam, the health of this person will be fully scrutinized. The results of their medical exam will accurately depict their health status and prognosis of their life expectancy. When a person’s medical exam results are superb, he or she may be given a low cost life insurance rates.
However, if a person does not want to be subjected to a medical exam, he or she may avail of the life insurance no exam policies that are now available as alternative plans offered by insurance companies. This type of policy is also known as the instant life insurance policy because it will give instant coverage to a policy holder without having him/her pass a medical exam. However, this type of policy has its advantages and disadvantages.
A policy holder will not have to set aside time to have a medical check up annually. This is one advantage we have with this type of policy. This makes the application process simpler and more efficient. Another advantage is that the person applying will not have to suffer the indignity of being denied of an insurance policy just because of a medical condition. The third advantage is that persons even with underlying medical conditions will have the opportunity to be insured as well.
Another advantage of this type of policy is that when you purchase at a very young age, the instant term life insurance quote on line will be based solely on the belief that young age is synonymous with good health. This means that the premium rates that you have to pay with this type of policy will be virtually identical with a plan that would have required you to undergo a medical exam.
The no exam life insurance policy will base the risk profile of an individual solely on the information given and the age of the individual. This can become a disadvantage especially in terms of cost. This type of policy will assume that the older the individual who is applying for a policy is, the greater is their risk profile. This will cause the term life insurance quotes of older policy buyers to become significantly higher regardless of whether that individual is still healthy or has pre-existing medical conditions.
Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on term life insurance quotes and instant term life insurance quotes, visit his site today.
Tags: family, financial planning, insurance, insurance policies, insurance policy, life assurance, life insurance, life insurance policies, life insurance policy, life insurances, life planning, Personal Finance, personal finances, term life insurance
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Sunday, January 8th, 2012
Most types of life insurance require a complete medical exam to be undergone before the underwriting process begins and the policy is issued. However, these days, a new trend is emerging to suit those who hate undergoing medical tests only for the sake of obtaining an insurance policy. These people can go in for a term life insurance no medical that will be issued without any need for a health exam. This makes it easy not only for those who are afraid of undergoing tests but also for those with some potential health issues or pre-existing medical conditions which disqualifies them from getting a regular insurance policy.
A life insurance quote on line will provide you with many such plans that can be got without a medical exam. These policies are however not cheap since the death benefits are less and the premium rates are higher. This is mainly because the insurer will try to protect his interests in case the insured dies soon after taking the policy due to some illness. Even if, the beneficiaries can only get a cash value payout two years after the policy comes into effect. If the insured dies within the first two years, the insurer is under no obligation to pay any death benefit.
As with other types of plans, if you are young and healthy, then your rates will be less. However, it is better if young, healthy individuals opt for a traditional policy after undergoing a medical exam. This will mean that they can get cheap life insurance, higher coverage and take a policy for a longer period of time. Some insurance companies have a special no exam term insurance policy targeted at senior citizens over 50 years of age. This offers a simple policy with less death benefit that covers final expenses.
Some of the questions that need to answered for a no medical exam plan include: * Age * Gender * Past medical history * Cholesterol levels * Blood sugar levels * Nicotine habits * Height : Weight Ratio
Apart from these questions, some companies can even ask for a mouth swab and blood work to be done. Usually questions on family’s medical history will be asked since certain life threatening diseases like breast cancer, diabetes, heart disease are all hereditary.
If your father or mother suffers from or died from a heart ailment, there is a high probability that you also can suffer from the same condition later in life. So, even if a currently young and healthy individual applies for a no medical exam policy, the insurance company will study their lifestyle very closely. If your weight is normal, if you exercise regularly and do not drink or smoke, your insurance rates will be cheaper even if you have a family history of heart disease.
If on the other hand, you are obese, drink and smoke, even a no medical exam can be denied to you. This is because, combined with an unhealthy lifestyle, your family history of heart disease makes it highly likely that you will die young. The insurance company will not be willing to take the risk of insuring your life. Similarly, a person with a family history of breast cancer will need to undergo periodic tests and provide a clean bill of health to qualify for any type of life insurance.
Even for no medical exam insurance, you maybe asked to provide some supporting documents to show that you are free from breast cancer and are leading a healthy lifestyle. You must be honest when answering the questionnaire since companies have a way of finding out the past medical history of a person. If at that time they find out some serious illness, they can end the policy at once. All the premiums paid up to that point will be lost too.
To get instant term life insurance you must be in good health and your health questionnaire should reflect this. In such ideal cases, the insurance company can complete the entire application process online so that you can get a plan approved within a few hours. This really is helpful for the professionals who do not have the time or inclination to attend medical tests and yet want protection for their family. Hence, a no medical exam term life insurance can be considered a great time saver.
Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on term life insurance for seniors and life insurance online, visit his site today.
Tags: family, financial planning, insurance policies, insurance policy, life assurance, life insurance, life insurance policies, life insurance policy, life insurances, Personal Finance, personal finances, personal financial planning, planning, term life insurance
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Saturday, January 7th, 2012
These days, most people with busy schedules are getting their life insurance and term life insurance policies via online sources.It takes a lot of time to visit different insurance companies. You will also waste time listening to unending sales talk. Most people have a fairly good idea about the types of insurance policies available and will request for quotes they want. Even those who do not have any knowledge about insurance plans can read the enormous number of articles and blogs available on the Internet concerning life insurance policies.
Insurance websites provide online calculators. With the help of these calculators people can select the exact amount of coverage they need. If they opt for a term insurance, these calculators will help them decide the number of years they need to take the policy for. One can search and compare online quotes to get cheap life insurance. At comparison websites, you can make a parallel comparison of rates, coverage amounts and other terms and conditions and choose the best and most affordable policy.
Some of the details you need to provide on a life insurance quote are: * State * Birth date * Gender * Smoker (Tobacco) * Health class o Preferred plus o Preferred o Regular o Regular plus * Type of insurance * Face amount
The information required on different insurance websites can vary slightly, but the basic details will be the same.
People who do not know what health class category they fall into can refer to information provided online. It will give them some guidelines about who will qualify for which category. For instance, if a person is young, has the ideal height: weight ratio and does not drink or smoke, he can come under the preferred plus category. All insurance companies will ask their applicants to undergo a thorough medical exam before placing them in a specific category that will ultimately determine their insurance rates.
The figures appear in the initial quote is only a rough estimate. One will get the final figure only after a complete medical exam report is submitted and the underwriting process is completed. The online buying process can be done in three ways. The first one is: visit a website of an insurance company, get quotes and fill out an application. The insurer will process the application and get back to you if further information is required. This could be a medical report, salary certificate, period of employment and so on.
A medical exam will be requested based on the age, past medical history and the amount and period of coverage. You may have to meet with a company representative or an insurance agent. When the insurance company is satisfied, they will approve your application. Such plan can provide coverage of even $10,000,000. Second method is by completing the application and buying the policy online. This is called a no medical exam term life insurance. It can provide coverage up to $500,000 sometimes.
The rates for this type of plan are more expensive than a traditional policy that you will qualify for after a medical exam. However, by researching many online quotes, you can find fairly inexpensive rates even for this plan. If all your details are approved, you can be issued a policy on the same day. Another way of buying insurance online is to visit a site, give basic information and get a quote. Then an agent will contact you and will guide you through the rest of the application process.
There are some security measures that you must keep in mind when visiting online sites. Everyone knows that information provided on the Internet can be exploited by unscrupulous people. So, make sure you visit only secure websites that provide you with information as to the security checks they have in place. Make sure the website provides a clause that prevents them from selling your information to a third party. It is best to visit the website of established insurance companies. Even if you visit a comparison site, make sure they deal with the top insurance companies. This means the site is reliable and that your information will be safe.
Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on term life insurance rates and instant life insurance, visit his site today.
Tags: family, financial planning, insurance policies, insurance policy, life assurance, life insurance, life insurance policies, life insurance policy, life insurances, Personal Finance, personal finances, personal financial planning, planning, term life insurance
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Saturday, January 7th, 2012
Many people say that choosing the right life insurance plan can be intimidating and exhausting, especially since so many plans are on the market today. If you know what to look for in your life insurance plan, it becomes much easier to narrow down your choices and understand which plan is best. This article outlines the key tips in selecting a life insurance plan.
When you are purchasing life insurance from an adviser, it is very important to know how the adviser gets paid. Is your adviser being paid based on his sales commissions? If so, then you need to be aware of the potential for conflict of interest. A good commission-based adviser will be very upfront about his commissions as he presents policies for your consideration. Examine all the options carefully and ask lots of questions. If your adviser isn’t offering information on how he is paid then you need to ask.
If you go for a policy that provides more coverage than is necessary, you are going to pay more for your premiums than is necessary. You must also make sure that you do not cut yourself short on the amount of coverage that you have. Use online calculators to help you calculate the necessary amount of coverage for you and your family.
Get yourself a policy that has a “conversion to permanent” clause. This refers to the fact that at any time, the policy holder can switch their term insurance into permanent insurance without further medical exams. While this may not save money at first, it will eventually save money if you start suffering from poor from health problems before the policy runs out.
To save money on your life insurance, opt for a term life policy. This policy is the easiest and best option for people from the age of twenty to around the age of fifty. If you are over fifty and relatively wealthy, you can opt instead for cash value life insurance.
Be honest when you fill out the application for life insurance.
It is crucial that you do not lie on your forms; insurance companies have the right to cancel your policy if they find out that you were dishonest. It would probably be more beneficial just to buy an additional policy.
As the beginning of the article stated, choosing the right insurance plan can be a very difficult affair. However, if you have a better understanding of exactly what to look for in a life insurance plan, the process becomes much easier. Use this article’s tips and tricks, to help you select the best life insurance plan for you and your family.
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Tags: banking, finance, Finance and Insurance, insurance, investing, Life and Insurance, life insurance, Personal Finance, Personal Investment, wealth building
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Saturday, January 7th, 2012
The sale of life assurance policies may have increased manifold, but it is a fact that very few people buy it for the purpose of insurance. Most buy it with the intension of building their assets under expert guidance and that too under easy terms. Of course, there is no harm in it; but before you do that, you should know about its pros and cons. Let us go into that.
What is a life insurance policy? Let us first understand this. Technically a life insurance policy is a life assurance policy. It can be defined from two different perspectives:
According to legal perspective, a life insurance policy is a contact between the policyholder and the insurer; whereby, the policyholder is required to pay certain sum as premium at regular interval and in return, the insurer is required to pay certain sum as benefit on the occurrence of the insured event.
From the financial perspective, life assurance is an intimidation, which brings together individuals exposed to some specific contingency to form a common pool of fund; if that contingency does occur, claims are paid from that fund for its mitigation.
It is a fact that very few people actually benefit from the claim event because it rarely takes place. That is the reason why people prefer the cash value policies, which along with providing the usual life insurance benefit also build up assets for you. They pay benefit if the insured event takes place and if you outgrow the need of insurance, you can cash out the policy and get the accumulated cash value plus interest in return
However, these policies are always overpriced since only the money above the cost of insurance can be utilized for growing the cash value. You can avail instant life insurance quotes from online brokers and compare them side by side. Have a glance at them and know the facts without a doubt. If you want to have the coverage at an affordable rate, opt for a pure life insurance policy such as a term life. If you want, you can build up your asset by investing separately in suitable investment funds.
The term life policies are usually reasonably priced. It is because of two reasons. First, they need to take into account only the cost of insurance; funds need not be diverted to grow any investment opportunity. Second, since the policy is sold for specified term, in more than 99% cases, it expires without having to make any pay out. The main benefit of buying the policy lies in the peace of mind one enjoys, not in the actual claim event; such events rarely take place.
However, because a term life policy is affordably priced, the cost of insurance needs to be established more accurately than in many other life policies. Consequently, these policies have to undergo long underwriting process. Of course, the underwriting process is not short in whole or universal life either and so if you want instant life insurance coverage, may be the life insurance no exam policy is your only option. These too are mostly term life policies, but they have been designed for speedy and simplified purchase.
Let us now go back to the pros and cons of buying a cash value policy. We have already discussed the pros. Whether you live or die, the policy will compulsorily provide some return. In case you die while the policy is in force, your beneficiary will receive the death benefit and if you outlive the need for insurance, you can cash out the policy and use the proceeds as is necessary. One of its main disadvantages is that the policy is sometimes much too expensive. Comparison of different categories of life insurance quote is enough to substantiate the fact without any misgivings.
However, if you go deep in to it, you will find that the amount above the cost of insurance is deposited in a separate fund to grow the cash value of the policy. Yet, if the insured dies while the policy is still valid, the carriers retain this amount and release only the death benefit. Alternately, when you cash out the policy, the carriers are going to retain the amount deposited in the insurance account. Therefore, why should you waste your money on insurance that you do not need? If you are buying the policy only for capital building, go straight for investment funds; for insurance buy term life.
Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on affordable term life insurance and term life insurance quotes, visit his site today.
Tags: family, financial planning, insurance policies, insurance policy, life assurance, life insurance, life insurance policies, life insurance policy, life insurances, Personal Finance, personal finances, personal financial planning, planning, term life insurance
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Saturday, January 7th, 2012
Most of the people are just allergic or shun away from talks about mortality. They do not like talking about death or anything related to it. There is no surprise in it because it is inherent for us human beings to avoid topics relating to our mortality. This is one reason why people also veer away from talks pertaining to life insurance policies although talking about them is very important.
Why should we discuss about life insurances? Every one will need to consider investing or purchasing a life insurance policy at some point of time in his life. This is because a person as he or she grows older will have more responsibilities other than just taking care of him or herself. A person will become responsible not only for himself but also with people that he or she loves. Because of this, a person should make sure that his/her loved ones are well-provided for and well-taken-cared of while he or she is still living. Likewise, a person should also consider taking care of his/her loved ones even after his/her death. This will be possible by purchasing a life insurance policy.
Whether it be a choice between whole live vs term insurance; a life insurance policy will provide financial security to a person’s loved ones in case of a person’s unexpected death. A life insurance policy acts as an assurance to the surviving family members of a person who owns a policy will be given the corresponding amount of cash that was agreed upon in the policy. This amount will be given upon the death of a policy holder and may be given as a lump sum (the total amount will be given on at a time) or through a payment scheme (the surviving family members will receive cash on a regular basis).
How much coverage should you get? A person who wants to give financial protection to his or her family in the future in the event of an unexpected death should consider how much coverage he or she should get on his/her life insurance policy. An insurance coverage is the actual amount of cash that the beneficiaries of a policy holder will get upon the death of the policy holder. The amount of coverage that is offered by different insurance companies can be seen using the internet by looking at a life insurance quote on line. A person can also have the premium payments that he or she will have to pay be computed using the calculator application within the webpage.
The amount of insurance coverage should be sufficient to meet all the necessary expenses that the family will have to pay in association with the death of the policy holder. The amount should also cover the future expenses and the recurring expenses of the family. The common notion is for policy holders to purchase an insurance coverage that is at least equal to ten times their annual salary.
What type of life insurance policy should you get? Even a low cost life insurance policy will benefit the policy holder’s family in the future. A person can choose from either a whole life insurance or a term life insurance policy. A term life insurance will cover a policy holder for a specific period of time whereas a whole life insurance policy will cover the policy holder from the moment he purchases it to the end of his or her life. Each of these types of policies has its own pros and cons so a person must discern on the type which will be best suited for his/her family’s needs.
Normally, a person must first undergo a pre-screening medical exam before he or she will be accepted by the insurance company for insurance coverage. Some insurance companies have come up with a no medical exam term life insurance policy so that people will not have to bother spending time for scheduling a medical exam. With this type of policy the premium rates that the policy holder will pay will be based solely on face value on the personal information and the age of the policy holder.
Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on cheap term life insurance and seguro de vida, visit his site today.
Tags: family, financial planning, insurance, insurance policies, life assurance, life insurance, life insurance policies, life insurance policy, life insurances, life planning, Personal Finance, personal finances, personal financial planning, planning
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Saturday, January 7th, 2012
Life is full of surprises. There may be pleasant surprises and some unpleasant things too. There are times when a family will encounter an unexpected event such as a death of a family member. If this happens, the surviving family members will grieve the loss of one of their members. The grieving will be much greater if the person died is the head of the family or the one who is supporting the family financially. In that situation, the family will be left with the burden of both emotionally and financially.
When the breadwinner of a family dies unexpectedly, the spouse and the children who rely on him will be left devastated. The emotional distress is hard. What makes their lives more difficult is that they have to shoulder the costs of the funeral as well as pay all the unpaid debts of the person who just died. Fortunately, there is a way to prevent the family members from suffering the financial burden in such situation. This is by investing in a life term insurance policy.
Like any other insurance policies such as car insurance, a life term insurance will bring two parties under a legal contract. The first party, which is the life insurance provider, will be responsible for indemnifying the loss of life of the policy holder, the second party, with the coverage amount chosen by the policy holder. The policy holder in turn will pay the necessary premiums set by the insurance company.
The amount of coverage that the policy holder will choose will mostly depend on his/her family’s needs and lifestyle. It is important that the amount of life insurance coverage should be enough to maintain the lifestyle that the surviving family is used to. This means that if the family is used to a lap-of-luxury lifestyle then the amount of coverage should be sufficient to maintain this type of lifestyle even long after the policy holder has died. A rule of thumb for choosing the coverage amount is that the amount should be as much as ten times the annual salary of the policy holder. This is to ensure that the family will have a replacement income for a minimum of 8 to 10 years. This period is more than enough for the family to bounce back financially.
When choosing a policy for a life insurance, there are a lot of websites set up by insurance companies that offer both the medical exam required policy and the no medical life insurance policy. Each of these policies has its own pros and cons.
Certain policies require a person to undergo a medical exam first. For such policies, the insurance underwriters will use the results and the prognosis of life expectancy to evaluate the amount of premiums that are to be subjected to the policy holders. While it is bothersome to spend time for a comprehensive medical exam, being examined thoroughly may lessen the amount of premiums especially if your exam results are superb.
For the no medical life insurance policy, the instant term life insurance quotes may as the name implies be instantly obtained by just simply answering an online form located in the insurance company’s websites. This means that potential policy buyers need not take time off work to schedule a medical exam. People will also not be subjected to the indignity of being accepted or denied just because of a medical exam result.
However, no medical life insurance policies are only advantageous to people who are still young. It is because they will be offered very low life insurance quotes. The insurance underwriters for these no exam policies will only based their computations of premium rates solely on face value and the age of the potential policy holder. A policy holder who is 30 years old will most likely be offered significantly low premium rates as compared to an individual who is 50 or 60 years old even if the person who is 30 years old is far less healthy than the older individual.
Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on term life insurance quotes and life insurance quote, visit his site today.
Tags: family, financial planning, insurance, insurance policies, life assurance, life insurance, life insurance policies, life insurance policy, life insurances, life planning, Personal Finance, personal finances, personal financial planning, planning
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Saturday, January 7th, 2012
A life insurance policy is an important investment that must be made by individuals who have other individuals depending on them financially. If you have people who will suffer financially upon your death, you must know that you need to have a life insurance policy to protect them in the future. A life insurance policy acts as a legal contract which binds an insurance company to indemnify the loss of the life of its policy holder in exchange for agreed upon premiums.
Although a life insurance policy is an essential contract to have for a family, everyone may not be qualified for it. Some life insurance companies as their prospective clients to undergo a pre-screening medical exam before they offer them a life insurance policy. The pre-screening medical exam will help insurance underwriters to understand the risk profile and life expectancy of the policy holder and thus will adjust the premium rates that these policy holders will have to pay on a regular basis.
Human beings have an average life expectancy of 68.2 years. This is according to World Bank. Because of this, people who are already beyond their golden years (above 50 years old) will mostly be either denied of a life insurance policy or are given a policy but they will have to pay higher premiums. This is because one of the basis for computing a life insurance quote is by factoring in a person’s age.
However, this does not mean that all individuals above the age of 50 to 60 years old will automatically be denied a life insurance policy. There are different steps to still get a suitable term life insurance for seniors. Here are some of them.
An elderly individual who has a healthy lifestyle will probably be healthier than most individuals his or her age. If this is the case, then it is better for this healthy individual to undergo a pre-screening medical exam set by the insurance company. The reason for this is that the medical exam will show the good health of the individual and this wil help him/her in getting lower premium rates as compared to other individuals of his/her age. If the company appointed physician asses the individual to be healthy and have a longer life expectancy; then this individual may avail of a longer term life insurnace. This will enable this individual to have a longer coverage period while paying only lower premium rates.
Another way for elders to avail of a life insurance is by choosing a no medical exam life insurance policy. This type of policy will not require the elderly to undergo a medical exam. The advantage of having this type of policy is that the elderly will be accepted for insurance coverage no matter what their exsisting illnesses are since there is no medical exam to verify it. However, there are different life insurance companies that list down illnesses that will not be covered by their policies.
You can obtain a life insurance no medical exam policy by purchasing them online or through insurance company websites. When you go to purchase life insurance through the insurance company’s website, you will have to fill up an online form. This form will contain questions related to your personal data and statistics. You have to answer all of them clearly. This form will also require you to fill in any medical information that you can offer such as medical history of your family. After accomplishing and submitting this form online, the website will calculate your premium rates.
The only disadvantage of getting an instant life insurance or no exam life insurance policy is that the premium rates will be based more on a person’s age and not on his or her physical health. This means that if you are already 60, your premium rates will be significantly higher than those of persons who are 30, 40, or 50 years even if you are far more healthier and are expected to live longer than they will.
Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on insurance life quote and life insurance online, visit his site today.
Tags: family, financial planning, insurance, insurance policies, life assurance, life insurance, life insurance policies, life insurance policy, life insurances, life planning, Personal Finance, personal finances, personal financial planning, planning
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Saturday, January 7th, 2012
Quite often we read about people dying unexpectedly. They may die due to natural causes such as old age or through a fatal illness or through accidents or natural calamities. An unexpected typhoon caused massive flash floods that claimed the life of hundreds of residents in a city of the Phillippines. In a news report, surviving family members have expressed their grief on the loss of their loved ones and have also asked the government’s support for financial assistance because of what happened. A situation such as this is indeed really dreadful. However, there are ways to protect family members from being financially devastated because the head of the family unexpectedly dies. This is through a life insurance policy.
A life insurance policy is a sure way of assuring that the loved ones that a head of the family will leave behind will be able to cope with life financially even after that head of the family dies unexpectedly. The life insurance policy acts as a contract which will obligate an insurance company to indemnify the loss of life of a policy holder in the event of his/her death. The amount of coverage purchased by the policy holder is the same amount that will be given to designated beneficiaries upon the policy holder’s death.
A person who wants to purchase a life insurance policy even if it is just one of the more affordable life insurance policies available must consider how much coverage his/her family will need upon his/her death. There are a lot of things to consider such as the immediate expenses, the recurring expenses and the future expenses of the family. The immediate expenses are the fees and costs which are associated with the death of the policy holder. This includes funeral services costs and hospital bills. Unpaid credit card bills are also included in the immediate expenses. Recurring expenses are the costs that the family needs to pay to continue their daily living. These will include house rental, mortgage payments, utility bills and other payments made regularly. Future expenses will include the retirement expenses of the surviving spouse or the college tuition fees of school aged children.
As most people advise, the amount of coverage should be at least equal to or more than ten times the amount of the annual salary of the policy holder. Term life insurance quotes will give a policy holder the choice of coverage amounts as well as the corresponding premium payments that he/she has to pay on a regular basis.
Most life insurance policies will require potential policy holders to undergo a medical exam which will be conducted by a company appointed physician. The results of the medical exam will help the insurance company’s underwriters to assess the life expectancy of the potential policy holder. This will be the basis of computing for the premium rates that the policy holder will have to pay. Whole life insurance and most of the long term life insurance policies require this medical exam. Policies with high coverage amount also require the potential policy holder to undergo a medical exam and this exam is done annually.
On the other hand, there are life insurance policies available that do not require potential policy owners to undergo a pre-screening medical exam. These policies are called the no medical life insurance policies. Individuals who have pre-existing diseases or illness before being covered by insurance may avail of this type of policy. Also known as an instant life insurance, the insurance underwriters will make use of the person’s age and the information on the person’s family medical history as the main bases for the computation of the premium payments that policy holders must pay on a regular basis.
The only disadvantage of an instant or no medical life insurance policy is that the amount of insurance coverage may not be large enough to cover all the necessary expenses of the family after the policy holder has died. Also, these types of policies may only a limited number of illnesses. Because of this, these instant life insurance policies are sometimes called accidental death insurance policies because they only cover death due to accidents and not due to fatal illnesses.
Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on life term insurance and seguros de vida usa, visit his site today.
Tags: family, financial planning, insurance, insurance policies, life assurance, life insurance, life insurance policies, life insurance policy, life insurances, life planning, Personal Finance, personal finances, personal financial planning, planning
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Friday, January 6th, 2012
Universal life insurance is a permanent insurance policy that provides flexible investment options. Unlike whole insurance where the insurance company selects where the money should be invested, a portion of universal insurance premiums can be invested in various growth schemes. However, these can be risky if the market is unstable. Hence, you must be able to manage your investment portfolio to gain the maximum benefits from investing the cash value of universal life insurance.
Before selecting any plan the insurance buyers must investigate the various plan options open to them. They should study the various types of policies that are available in depth. This will give them an idea about the costs, terms and conditions of different schemes. Having prior knowledge about insurance policies is a must, whether you choose to ask for a life insurance quote on line or get one from an insurance broker. If an insurance broker finds out that you are a novice, he may sell a policy that benefits him and not you. Similarly, a novice may end up getting the wrong quote from online sources.
Therefore, here are some useful tips that first-time buyers can follow when buying term insurance. * Calculate coverage * Match plan to needs * Shop wisely * Decide on ideal term * Study terms and conditions
All insurance plans must provide sufficient coverage to meet the financial requirements of a family. Very often, cheap term insurance plans will not give sufficient coverage. If the death benefit is not enough, the entire effort of getting an insurance policy will be futile. Hence, calculate the amount of coverage you will need so that when you request a quote, you will know how much face value to ask for.
The next tip when looking for an ideal term insurance policy is to select the type that will suit you. There are many types like – term insurance for seniors, 10-year policy, 20-year policy, annual renewable, decreasing term, level term etc. It is important to make a note of your needs and then match the plan for otherwise you can end up with the wrong option. For example, term life insurance no medical exam is one option available especially for senior citizens. You must know that this type of plan is more expensive and unless your health or age dictates that you buy this policy, it is best that you avoid it.
Jumping at the first quote you get or the first broker you visit is wrong. Shop wisely since a term insurance is a must especially with the number of options available to you. There are so many insurance providers available. Some patience in browsing for several quotes will pay dividends in the end. A good option is to visit a comparison website that provides comparison of quotes from top insurance companies. This will help you make an easy comparison based on various parameters on the same page.
Shortlist at least seven good quotes. You can then narrow down your choice. Price should not be the sole consideration. Look at all terms and conditions very carefully. A very important aspect of term insurance is the ideal term period. This problem does not arise with all permanent policies since they are taken for the entire lifetime of an individual. Some of the term insurance plans offered at cheaper rates are available only for very short periods of time. Do not go in for them especially if you have long term financial requirements.
A very important aspect of term insurance is the ideal term period. This problem does not arise with all permanent policies since they are taken for the entire lifetime of an individual. Some of the term insurance plans offered at low rates are available only for very short periods of time. Do not go in for them especially if you have long term financial requirements.
Talk to a good insurance agent or a family member who knows the various policies. It can help you clear up some of the confusion that can prevail when choosing the right life insurance policy. Some simple strategies and following tips from experts will go a long way towards selecting the right plan.
Article by David Livingston of EQuote, who is a specialist in everything life insurance. For more information on quotes life insurance and life insurance no medical, visit his site today.
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