What is life insurance?
Life insurance allows you to leave a secure financial future for those who have come to depend on you. It also lifts the heavy burden of funeral expenses off the shoulders of your loved ones. Regardless of your current state, life insurance gives you and your loved ones financial peace of mind, primarily if they depend on you financially. Whether it is mortgage payments, payroll supplementation, college tuition, or maintaining a standard of living, you can still be there when you are needed most.
“Don't make them mourn you twice.”
Why do you need life insurance?
Though you might not want to talk about it, life insurance is necessary for your family and loved ones. It can offer a financial resolution for accumulated debt, such as credit card debt, a mortgage, or even student loans. It can handle the additional costs of end-of-life expenses, such as a funeral service, burial, or headstone. It can also provide financial stability from the loss of your income for the near future or long term. Even if you may think that you don't have a large amount of debt, you can also think of it as an inheritance. Being able to pass on stability is another way of taking care of them after you can no longer physically.
What are the benefits of life insurance?
Pay off debt (credit card, mortgage, loans, other)
Funds for end-of-life expenses (funeral, burial costs, headstone)
Financial stability from loss of income
Ability to provide inheritance
Support for your loved ones when they need it most
Dispelling the Myths
I’m too old, no company will cover me.
If you are between the ages of 0-85 we can get you covered.
I have too many ailments to get coverage.
In this day and time, there is coverage available for almost everyone, HIV, Cancer, Diabetes, High Blood Pressure, MS, and Lupus. You name it, we can cover it!
My doctor says I’m obese, I know insurance is based on weight.
Yes, many insurance companies base their policies on weight, however, there are policies that do not consider weight as a part of their underwriting process. Please note these policies tend to be more expensive, however, obesity is not an automatic denial.
I want to protect my mortgage but I cannot afford a $200,000 policy, what do I do?
Term policies are ideal for this type of scenario. They allow you to secure a larger face amount for less premium because they do not have the features of whole life policies.
I heard there aren’t any policies that payout in the first year.
This is not a valid statement—all policies written in good faith payout. The difference is in how much they payout. First-day coverage pays out in full. However, it is critical to note, ALL policies have a two-year waiting period wherein the insurance company can investigate to protect themselves. Those two years are called the contestability period. Policies with a stated waiting period like two or three years payout but only return the premiums paid plus a small percentage.
“Family is the most important thing in the world.”
- Princess Diana
There are two different types of life insurances to choose from: Term Life and Whole Life.
As the name suggests, Term Life only covers a term or specific period, ranging from 10-40 years. Typically, Term Life has a lower monthly premium that offers larger death benefits to cover larger families and protect mortgages. Non-Med Exams may be available, depending on the policy, where the enrollee will be asked detailed health, financial, and hobby questions. Once a contract expires, you may buy a new policy or reassess your options.
Whole Life, like the name suggests, gives you lifelong protection with the most guarantees. It offers income replacement, provides supplemental income, builds cash value, and assists with estate planning. Though Whole Life costs more than term, it offers additional features, such as cash when you need it, critical illness accelerated benefits, and terminal illness accelerated benefits. It can even be used for tax-free wealth transfer or to pay for estate taxes.
“The Answer Group Consulting company has been such a knowledgeable experience! I had no idea how little I knew about life insurance and its benefits. Not only is Janiece Smith professional, skilled and knowledgeable, but she is down to earth and efficient as well! She gives you a variety of options to choose from based on your information. She doesn't try to force your hand on any policies but rather, works with your needs and you're budget. It's a blessing to know there is a life insurance company that is transparent about what it can offer, as well as passionate about its customers benefiting from their investments. Thank you, Answer Group for being concerned about me!!!”
- Ms. D. Sunshine