Life insurance is a simple act of love.

Term insurance only provides death benefit coverage, and only for a certain number of years, while permanent life insurance provides coverage for your entire life. It also comes with a savings account component that accumulates cash value and generates interest- in this case, compounding-overtime. Because permanent life insurance lasts longer and comes with additional benefits, it is generally more expensive than term life policies.

Insurance carriers use several factors to determine the premium you pay for your coverage. Besides some primary rating factors such as your age, health and the amount of coverage, other factors like where you live, your hobbies and your occupation may also be considered. The younger and healthier you are, the cheaper your life insurance is likely to be.

Your life insurance death benefit amount is a very personal calculation. Are you are still working and have loved ones who depend on your income? The amount of your debt, the life style you want to carry as you retire, and/or what you want to leave for your next generation…? Our licensed life insurance agent could help you determine how much life insurance to purchase so you can plan accordingly.

The cash value part of a permanent life insurance policy is designated for your use. You may borrow against it, use it to pay future premiums or make tax-free withdrawals — within limits so that your policy wont lapse.
Your insurance agent can advise you how to leverage the cash value so you will not have to undergo a lengthy approval process from a bank or lenders. Using the right tool will enable you togenerally enjoy a lower interest rate as you payback the funds while avoiding high income tax.

One of the biggest myths about life insurance is that you only need it when you’re older. In reality, thereare many benefits to buying life insurance while you’re young and healthy. Life insurance is significantly cheaper when you’re young, so thesooner you apply for a policy, the more coverage you may be able to afford.

Most life insurance nowadays offer valuable protection that would still fit into your budget. Some affordable term life insurance policies can be converted into a permanent product such as IUL or GUL.

It is very simple: As long as you are breathing, you are contributing something to this life. Thus, every life is precious and should be insured- since life is full of risk. Owning a life insurance policy is your way of transferring the risk to the insurance carriers.
The main purpose of having life insurance is to protect those who depend on you physically or financially after your death.
If you have a living spouse, children, or other family members who would need financial support if you were to unexpectedly pass away, you should consider purchasing a life insurance policy.
Yet, if you are single with no offspring, you will eventually become a dependent of yourself as you are aging. Thus, life insurance policies with its many hidden advantages can balance off your investment portfolio as you plan your retirement.
You even need a policy if you are a stay-at-home parent without an income. If you weren’t around, the surviving spouse or partner would have to pay for childcare and perhaps other household tasks.

Many people get life insurance as part of their workplace benefits. Group life insurance coverage is usually based on your salary, not how much financial support your family needs. If you have group life insurance, it’s a good idea to supplement it with a personal policy that has higher coverage limits and various riders for customized protection.
The financial plan for your children’s life, the legacy that you want to leave for them can be greatly determined by your action today.