Life Insurance Coverage for Peace of Mind
Bosworth & Associates offers three types of life insurance: term life insurance, universal life insurance and whole life insurance
Preparing for the Future
It's unwise to leave your family without sufficient means to support themselves after you're gone. Now is the time to invest in their future, while you still can. No one knows what the future will bring, but you CAN take steps to prepare for it. Let's go into more detail on our three main types of life insurance.
This is the most basic of life insurance policies, which offers simple death benefit protection, minus any cash value that may build up within other policy types. Thus, this is the most affordable type of life insurance, especially attractive to younger people who find themselves in good health. Pursuant to the name, term life insurance means you purchase this coverage for a specified period of time, such as 10, 15, 20, 25, or 30 years. You can even go longer than that in some cases. The premium amount remains the same over the specific term chosen over the specific period of time. Once the time is up, you will be able to renew the policy; however, you must go through steps to re-qualify because your age and, likely, your health status have changed.
This is a type of permanent life insurance coverage. You essentially lock in the premium amount, which remains the same throughout the policy. If you're trying to adhere to a budget, this is a great option for you. Additionally, if you purchase this type of policy when you are young, you will pay the same amounts for this policy throughout the years, even as your age advances and your health status changes. This type of plan grows a cash value component that is tax-deferred, which means you won't be taxed on these amounts unless you withdraw them prematurely. Growing slowly at first, the cash in your whole life insurance policy will start to grow steadily and more quickly after that, giving you a minimum guaranteed rate of return.
Also considered a form of permanent coverage, universal life insurance includes a death benefit and a tax-deferred cash value component. However, its flexibility is what sets this type of policy apart from whole life. As the policy holder, you are allowed to choose how much goes towards the death benefit vs. the cash value. You have access to your cash value, borrowing it or withdrawing it as you see fit — whether to get through a tough financial time, go on a vacation, or fund your retirement.
Bosworth & Associates is your one-stop-shop for all your insurance coverage needs, including life insurance. Request a quote on life insurance today or call us at 903-561-2621.