Life insurance is a simple and important way to protect the financial future of your loved ones. It pays a lump sum amount that is tax free to your beneficiaries upon your death. It can be used to pay for final expenses such as funeral costs, pay off debt and loans, pay for your children’s education and guarantee that they can maintain their lifestyle and pay their day to day bills.
Common Types of Life Insurance
Term Life Insurance
- Term Life Insurance is the most cost effective way to protect the financial future of your family. The premiums are guaranteed for a set period of time. If you die while coverage is in effect, your beneficiaries receive your coverage tax free.
- Whole life insurance is permanent insurance that remains with you for your lifetime and is paid out to your beneficiaries upon your death as a tax free benefit. Premiums are locked in and guaranteed for the lifetime of the policy. It is also common for this type of insurance to build guaranteed cash value, which is a sum of money that can be accessed to fund education, renovate your home, or supplement your retirement income.
- Universal Life Insurance is an alternative type of permanent insurance coverage with a tax advantaged investment component. If offers a wide range of investment options, which are chosen based on the owner’s risk tolerance and preferences. You can also customize your plan with optional benefits to meet your changing needs.