Are you happy your term will expire and you will get nothing back?
It isn’t very comforting to get life insurance that doesn’t last your whole life.
Typical term insurance, last between 1o to 30 years, depending on what you picked.
However, most people do not realize that there is permanent life insurance.
Whole life insurance, popularly known as permanent life insurance is full of benefits!
While there is a lot to think about before buying a policy, one word will continually arise when you review your whole life options.
When you compare whole life insurance to other options, such as a term policy, you will begin to see just how powerful a “guarantee” can be.
Permanent Life Insurance
Before we get into the finer details of the guarantees associated with whole life insurance coverage, let’s examine some of the reasons you may want to make a purchase:
- Protection for life (not just a particular term, such as 20 years).
- Payments that remain the same, year after year.
- The ability to earn cash, which you may be able to access while you are living.
These benefits are associated only with whole life insurance. If you buy term life insurance, you should not expect to take advantage of these.
Permanent Life Insurance: The Guarantees
Buying life insurance is never easy. Not only do you have to part with money, year in and year out, but you’ll find yourself thinking about a future in which you are no longer around.
As difficult as this may be for you, buying whole life insurance has a way of putting your mind at ease. And as noted above, there is one reason why: a variety of guarantees.
Guaranteed level premiums
Are you worried about your premium increases over time? With whole life insurance, this should never be a concern. It doesn’t matter how old you are or what happens with your health, your premium will remain the same.
This makes it easier to budget for the future.
Many people confuse universal life insurance with whole life insurance. Universal does have a chance to increase in price. However, whole life insurance just as long as you pay your premiums your policy premium will remain the same.
Guaranteed death benefit
The biggest problem with term life insurance is that you don’t have a guaranteed death benefit in place. Instead, if you outlive your policy, you have nothing to show for it. The same cannot be said with whole life insurance, as your beneficiary is guaranteed to receive the face amount of the policy (at a minimum).
Guaranteed cash value
For many, this is the top benefit of buying whole life insurance. With cash value accumulating each year on a tax-deferred basis, you’re doing more than buying life insurance. You’re also buying into an investment opportunity that can improve your financial situation.
There is one kind of universal life insurance that gives you permanent coverage and guaranteed premiums: Guaranteed Universal Life Insurance.
Permanent Life Insurance Conclusion
As you know, there aren’t many guarantees in life. Fortunately, when you purchase whole life insurance, this all goes out the window.
With a variety of guarantees associated with your coverage, it’s easy to see why so many individuals opt for this type of policy. Whole Life is the permanent life insurance you should consider.
Are you ready to change your term coverage to whole life?