Many individuals consider Life Insurance to be the cornerstone of a sound financial plan. And while no one likes to think about passing on, Life Insurance can relieve you of the financial worry your loved ones may face in the event of your passing.
Your beneficiaries will be able to use your Life Insurance policy to help pay for anything from expensive funeral costs and estate taxes to making up for lost income or funding your child’s education. It can even be used to continue payments on your mortgage to ensure that the family home stays in the family.
At First Choice Insurance, we know that choosing a Life Insurance plan is a big decision with many important factors to consider. Our knowledgeable team of insurance professionals is committed to walking you through the process and providing you with the best insurance solution to give you and your family the peace of mind you deserve.
First Choice Insurance offers several different coverage options for your consideration: Term Life, Whole Life, Universal Life, and Variable Life Insurance.
Term Life – This is typically the simplest and least expensive insurance option. Term Life Insurance provides coverage at a fixed rate for a specified period of time. It’s a benefit policy that’s used primarily to cover financial responsibilities of the insured, with the benefit to be paid only if the insured were to die during the specified term. Most Term Life policies can be converted to a more permanent insurance solution such as Whole Life, Variable Life, or Universal Life Insurance.
There are two types of Term Life Insurance:
Whole Life – As the most common type of permanent insurance, a Whole Life policy guarantees a death benefit for the lifetime of the insured as well as a cash value account for savings. Your premium remains constant throughout the duration of policy while payments over and above your premium are credited to your savings, which earn a fixed rate of interest.
Universal Life – Universal Life policies are designed to be more flexible than other permanent Life Insurance. You are still guaranteed a death benefit, assuming ontime premium payments are paid, for the duration of the policy as well as savings that accumulate cash value, but the flexibility of a Universal Life plan allows you to change certain aspects of your plan to accommodate life changes.
Depending on your options, you have the flexibility to change the overall value of the death benefit as well as the time and amount in which you pay your premium. This gives you the option to focus on building your policy’s cash value, or pay a lower premium and focus on guaranteed protection. It’s important to note that changes to your Universal Life policy can affect its guarantees and limits.
Variable Universal Life - With a Variable Universal Life (VUL) Insurance policy, you get the same flexible benefits of Universal Life while being able to take advantage of potential economic growth in the stock market. Instead of creating a cash value for savings, the value of your VUL policy is invested in professionally managed funds that reflect the performance of the stock market. This also means that as the policy owner, you assume the risk and responsibility of monitoring your own investments.
There are many things to take into account when purchasing Life Insurance, and changes in your life situation can reflect changes in your insurance requirements. That’s why it’s important to carefully consider the different policy options and ensure that you have the right solution to meet your long-Term Life Insurance needs.
An insurance specialist at First Choice Insurance will review your current Life Insurance situation and help you design a policy to plan for the future.
At the end of the day, one of the biggest investments you can make is an investment in yourself.
Guarantees and protections are subject to the claims paying ability of the issuing insurance company.
As your personal situations change (i.e., marriage, birth of a child or job promotion), so will your life insurance needs. Care should be taken to ensure these strategies and products are suitable for your long-term life insurance needs. You should weigh your objectives, time horizon and risk tolerance as well as any associated costs before investing. Also, be aware that market volatility can lead to the possibility of the need for additional premium in your policy. Variable life insurance has fees and charges associated with it that include costs of insurance that vary with such characteristics of the insured as gender, health and age, underlying fund charges and expenses, and additional charges for riders that customize a policy to fit your individual needs.
Life insurance is issued by Nationwide Life Insurance Company, or Nationwide Life and Annuity Insurance Company, Columbus, Ohio.