Sunday, November 23, 2014

Don't Buy Term Life Insurance!!

By far the most popular topic I have written on so far has been Term Insurance With Living Benefits, so I thought I would follow up on this concept and highlight some of the benefits.

To make sure everyone is caught up, Term Life Insurance is just that... Life Insurance that lasts for a specified length of time, or "term".  Most commonly, this is used to cover a specific need for a period of time.  Here are some examples:

1. A young family buys a house and has a mortgage on that house.  Let's say they are 35 years old and they have a 30 year mortgage on their new house for $300,000.  The main breadwinner in the family wants to make sure that if something should happen to him / her, then the spouse would have enough money to pay off this mortgage.  So, they purchase a 30 year Term Life Insurance policy for $300,000.

2. Another good example for Term Life Insurance, is a young family with dependent children still in the house.  Term Life Insurance is often purchased to make sure there is enough money for the surviving spouse to care for the children and maybe even their college educations in the event that one of the parents dies.  For this purpose, the couple should consider several factors, such as the number of children and their respective ages, which will tell them first, the "term" that they need to cover their family, assuming the children are self sufficient at some point in the future.  Next, they would determine the amount of money needed to provide the lifestyle and education the family wants to provide should one of the parents die.   Some things this couple should consider would be, mortgage / rent, living expenses, transportation, education, etc...  The amount of the insurance policy (face amount) and term of the policy, will be unique to each family, based on the couples specific requirements and goals.

The reason for my post titled "Don't Buy Term Life Insurance" is because insurance companies have recently started bundling Living Benefits into their Term Life Insurance products.  For the same reasons you would buy Term Life Insurance (loss of income due to a death), you should consider Term Life Insurance with living benefits to cover you in the event of the following conditions:

1. Chronic Illness
2. Critical Illness
3. Terminal Illness

Any of these three conditions listed above can seriously affect your family, should you find yourself in this situation for 6-12 months and are not able to generate the income that your family counts on to pay living expenses.

Term Life Insurance with Living Benefits allows you to use the money from your life insurance policy to help cover costs associated with Chronic, Critical and /or Terminal Illness, at a time when you need the help vs. just the traditional benefit of simple Term Life Insurance that only pays a benefit when you die.

One nice surprise about Term Life Insurance with Living Benefits is that you will find the monthly payments (premiums) to be just slightly higher than traditional term insurance, but in my opinion, worth every penny for the added benefits.

On my website (www.moreyinsurancegroup.com), I have more information that you can read and download on this topic.  Transamerica is the company that I recommend with most of my clients and you can find their brochures on my site as well, just follow this link: Term Life Insurance with Living Benefits

If you would like to talk with one of our experts, you can find our contact information on our website as well at:  Contact Us

Sunday, November 2, 2014

Term Life Insurance with Living Benefits

Recent studies show that nearly half of all Americans suffer from at least one chronic illness, and many of these people have one or more daily activity limitations.

Chronic diseases—such as heart disease, stroke, cancer, diabetes, and arthritis—are among the most common and costly of all health problems in the U.S., and are also the leading causes of death and disability.

You may not have considered it until now, but more and more people are learning that certain types of life insurance can play an important role in protecting their family’s financial future when an unexpected chronic, critical or terminal illness happens.

Term life insurance is one of the most important things you can put in place to provide financial protection for your family if you were to pass away unexpectedly. But did you know that Term Life Insurance with Living Benefits gives you early access to policy benefits to help pay your bills should you become stricken with a chronic, critical or terminal illness—even if you already have health insurance or Medicare coverage?

One of the best products I offer for this type of coverage is the Trendsetter® LB term Life Insurance from Transamerica Life Insurance Company.  The monthly premiums are just slightly higher than traditional term life insurance and the added benefits are more than justified.

Before you jump at the lowest premium you can find for Term Life Insurance, take a closer look at Term Life Insurance with Living Benefits on our website at: www.moreyinsurancegroup.com