life insurance basics: what you can expect from the application process and more

Life Insurance Basics: What You Can Expect From The Application

Process And More Presented By: Wholesale Insurancehttp://www.wholesaleinsurance.net/

Wednesday, August 18, 2010

http://www.wholesaleinsurance.net


Why Life Insurance?❖ Life insurance can mean the

difference between financial stability and financial disaster in the case of the death of a family member.

❖ Life insurance can provide a cushion that will enable remaining family members to continue living a comfortable lifestyle.


http://www.wholesaleinsurance.net/life-insurance

http://www.wholesaleinsurance.net/life-insurance

Understanding Life Insurance

❖ The insured pays a certain amount, called a premium. This premium is based on a number of factors and can vary greatly depending on health, age and lifestyle.

❖ The insured never actually benefits from life insurance. Instead, it is there to help loved ones or business associates who are left behind.


Who Needs Life Insurance?❖ Family breadwinner. A family breadwinner needs to carry

life insurance to replace income if he or she were to die.

❖ Stay at home parent. A stay at home spouse should also have a life insurance policy. This is because the surviving spouse would need to hire nannies and cut back on working hours to ensure that the children were being taken care of.

❖ Business partners. Even though a business co-owner may be unmarried and childless, a death could be disastrous for the remaining business partner and could cripple the business.


Types Of Life Insurance:Term Life Insurance

❖ Term life insurance is the most popular and many believe it is the most fiscally sound.

❖ As long as the correct premium is paid, a covered death event will result in benefits paid to the beneficiaries.

❖ Term life insurance is valid for a specific length of time, called the term.

❖ This type of insurance will expire at the end of the term and must be renewed if additional coverage is desired.


Types Of Life Insurance:Return Of Premium

❖ Return of premium insurance, also known as ROP insurance, is a form of term life insurance.

❖ Unlike traditional term life insurance, premiums are returned at the end of the term if death benefits have not been paid.

❖ Return of premium insurance can be expensive and is traditionally three times the cost of regular term life insurance.


Types Of Insurance:Whole Life Insurance

❖ Whole life insurance generally covers a person to age 100 or 120, depending on the terms of the policy.

❖ Rates are decided by the insurance company and do not change. Rates are based on current health conditions and expected future health.

❖ Whole life insurance comes with a cash value that the policyholder can redeem.


Finding The Best Life Insurance

❖ Once you’ve decided on a coverage amount, it’s a good idea to research life insurance rates. After determining the best company, you can start the application process.

❖ The first step is to determine how much coverage is needed. Make sure to consider salary, the value of work you contribute around the home and how long you would like your family to be taken care of.




Life Insurance Candidates❖ The best candidate for life

insurance is someone who’s healthy, doesn’t smoke or drink and doesn’t participate in high risk activities. Additionally, the younger the applicant, the lower the premiums.

❖ Nearly every life insurance candidate will need to go through a health exam or physical. Healthy candidates will receive the best life insurance rates, while chronically ill applicants will receive higher rates and may have a harder time getting coverage.


High Risk Life Insurance❖ High risk candidates can also receive life insurance policies,

however, the premiums are harder to get and will cost more. It’s important to disclose any and all information that may identify you as a high risk candidate. If you fail to disclose any information during the application process, the company has the legal right to deny death benefits if you were to die as a result of your high risk activity.

❖ The internet makes it easy to find companies that specialize in high risk life insurance coverage. People who like to participate in high risk activities such as sky diving, mountain climbing and others can usually find comprehensive coverage that’s not unreasonably expensive with a little research.


About Wholesale Insurance❖ Wholesale Insurance is a company that specializes in

finding the best life insurance rates for its customers.

❖ The company has a network of advisors and can provide customers with life insurance policies from some of the country’s top insurance companies.


life insurance basics: what you can expect from the application process and more

Economy & Finance