Low Cost Life Insurance, Life Insurance Agents

Life Insurance ensures your family and the loved ones will be taken care of financially if anything happens to you. The last thing you want is for your loved ones to struggle financially in the even you pass away. Term life insurance plans are more affordable than you think. Term plans can be set up for 10, 15, 20 and 30 years.

Many people are unaware of the importance of the benefits that the Life insurance provides. Basically there are three types of the life insurance policies which are available for you. These are universal, cheap whole and cheap term life insurance. You can compare and decide which type of the policy will suit your requirements and provide you with the maximum benefits. After taking the right type of the policy, there is a premium which is to be paid on a monthly basis. You have to search for the policy with the premium which will fit into your monthly budget properly.

Whole Life Insurance:

In this type of insurance your whole life will be covered. The premium and the death benefit remain same. It builds the cash value which enables in earning a return on the portion of the premium that is invested by the insurance company. The cash value is tax deferred till the time it is withdrawn and you can also borrow against the money. A small amount of a portion of the premium money goes towards the cash value which can pay off the entire policy after some years.

Low Cost Life Insurance Option – Term Life:
This policy is for the healthy individuals who cannot afford the cash value. The policy will cover a term which range from 1, 5 or 10 years. The death benefit and the premium payment are during that term only. You have the option to continue after the term and convert it to the cash value life insurance policy.

In the universal life insurance, the insurer is able to enjoy the benefits of the term life insurance and is able to combine the tax deferred interest with the accumulating savings accounts. This type of the policy combines the insurance with the savings. There are times when you don’t have to pay the premiums during the entire process of the policy. The premium is not required to keep the policy which is taken in force, if the money is paid for the death benefit and any other cost which is accumulated in the tax deferred saving part of the policy. It provides the death benefits in collaboration with the saving abilities.

This type of the insurance is also known as the flexible premium adjustable life insurance. It is basically a flexible version of the cheap whole life insurance. The insurance company will take a small portion of the premiums you are paying monthly and invest that amount in the money market funds, bonds and mortgages. You are able to earn the return on the investments which in turn is credited to the policy tax deferred. You are bound to get a minimum return on the money, as you receive a guaranteed interest rate. This minimum interest rate is not at all dependent on the performance of the investments. Generally your insurance company will increase the return of the rate of interest if your investments do well.

If you are setting this type of the policy, there are two options which are available for you. The first option will pay the death benefit out of the policies accumulating the cash value. Basically this policy costs less in the premiums, but it will surely take some time in building up of the sufficient benefit for you. The second option will pay you with the face value that you have agreed upon in your contract with the insurance company along with the accumulated cash value. You have the guarantee of the specific amount in the death benefit but the premium cost is more.