FAQ

This depends on your financial obligations, debts, income, and goals for your beneficiaries. Typically, people look at  factors like current and future expenses, debts, and the number of  dependents they support.Add an answer to this item.

Premiums are determined by factors like age, gender, health,type and amount of coverage, and lifestyle choices like smoking. Insurers use this information to assess risk and determine pricing.

A beneficiary is the person or entity you designate to receive the death benefit of your life insurance policy upon your passing.

Yes, you can have multiple beneficiaries and even specify the percentage of the death benefit each beneficiary will receive upon someone’s A beneficiary is the person or entity you designate to receive

If you outlive your term policy, coverage ends. No cash back, everything you paid during those term is gone. Some policies offer the option to renew or convert to a permanent policy

Yes, but it might affect the type of policies available to you. Some conditions might lead to exclusion from certain policies or free riders.

A rider is an add-on or modification to a life insurance policy that provides additional benefits or coverage options, often for an extra cost. For example, life insurance have critical, chronic, terminal, critical injury, overloan protection, return of premium riders.

It depends. If you have enough savings that you will not outlive and your dependents are financially secure, you might not need life insurance. However, some retirees use life insurance for estate planning purposes or to leave a legacy for their love ones.

This is possible with some types of permanent life insurance policies, like whole life, universal life, and index universal life, which build cash value over time. However, cashing out can reduce the death benefit and may have tax implications.

Policies often have a grace period. If you miss a payment, you typically have 30 days to make the payment without losing coverage. If you don’t pay within the grace period, the policy may lapse. Furthermore, if you have been paying your policy for a period of 6 months to 5years, you can miss a payment without your policy canceling out, but you need to communicate with your agent or the insurance company.

Yes, there are no-medical-exam policies available now with so many companies between the age of 18-60. But in a situation insurance company finds something questionable in your Medical Information Bureau (MIB), the underwriter might request medical exam, telephone interview, or medical assessment report/questionnaire.

Generally, life insurance proceeds are not considered taxable income for the beneficiary.

Yes, someone can pay the maximum accepted premium per policy coverage. This payment can be done between 3-7yrs, depending on the coverage and amount to be paid.

Yes, cash value life insurance like index universal life insurance can be structured and use as savings for college planning.

With cash value life insurance, you have your child protected from terminal illness, chronic illness, critical illness. Also, it builds cash for college tuition, no penalty on how to use the money, no penalty if your child choose not to go to college. You can withdraw your money tax free without any penalty. Finally, it does provide retirement coverage without paying future premiums.

With 529, You cannot use a 529 plan to buy or rent a car, maintain a vehicle, or pay for other travel costs. Pay for something outside college expenses.

Yes, you can actually use it to pay off your mortgage faster.

Yes, you can protect your love one with life insurance

Life insurance is different from health insurance, though life insurance company pays out policy owner if they have a qualifying medical conditions like heart attack, stroke, cancer, dialysis, major organ transplant, Dementia, Alzheimer, etc.

Yes, you have access to your cash value starting after year one without any taxes or penalty.

No, you can only withdraw from your cash value available to you. For example, if you have 40 thousand dollars available you can’t withdraw 60 thousand dollars. The only way you can withdraw from death benefit is only when you develop critical, chronic or terminal illness.

No, as long as you can afford such amount every year or at least the target premium.