Get a Free WA, OR, CA, AZ, or NV Life Insurance Quote Today!Life insurance is necessary for adults of all ages, and it’s much more important than many realize. The reasons why you should invest into this type of insurance can vary, and sometimes it can be confusing to decipher what type of life policy you should purchase. That’s why, at Homer Smith Insurance, we make understanding life insurance easy.
Typically, there are two types of life insurance policies you can purchase:
- Whole Life Insurance
Whole life insurance policies pay a death benefit when you pass away — no matter what age — and generally covers you for your entire life, hence the name. There are two types of whole life policies: universal and variable. Universal whole life provides the policyholder with some flexibility in terms of death benefits and premium payments. Variable whole life policies combine your coverage with your investments. This can be a risk, as if your investments don’t perform well, the value of your death benefits and your coverage can decline as well.
- Term Life Insurance
This is the least complicated form of life insurance. Term life policies pay a death benefit only when death occurs during the policy term, which is usually no longer than thirty years. There are two types of term life policies: level term and decreasing term. Level term policies require that the death benefit stays the same throughout the existence of your policy, while decreasing term policies require that the death benefit drops in set increments throughout the existent of your policy. Level term life policies are the most popular type.
If you find yourself wondering if life insurance is right for you, consider the following reasons:
- To pay final expenses
- To replace income for your dependents
- To ensure an inheritance for your heirs
- To create a source to savings
- To cover federal/state death taxes
- To make significant charitable donations (naming a charity as a beneficiary)
The agents at Homer Smith Insurance can help you with any life insurance questions you may have and any information you may need. Feel free to
contact us at any time, or visit our quote page for a free
life insurance quote!