LIAM: Life Insurance Products

This is the fourth and final installment for Etler-Kettenacker Agency’s participation in LIAM (Life Insurance Awareness Month).  We have talked about how “Life Happens” and you never know when you may lose a loved one.  The second week EK discussed how the value of your life was determined, the Human Life Value.  Last week we discussed the stages of your life and when you should re-evaluate your life insurance coverage.  This week EK Agency will briefly discuss the basic types of life insurance plans and give you a general idea of their cost.  Again, this is a brief over view, an EK Agency representative would be glad to discuss all of the life insurance products available and help you determine the best choice for you.

If you and/or your spouse do not have very much income set aside for life insurance you may want to consider a term life insurance products.  Term life insurance products are good for people are in the life formation stage of their lives.  Term life insurance products offer higher levels of coverage for smaller monthly premiums until the specified term ends.  This term is set in years, typically 10, 15 and 20 years.  Term life insurance products are an excellent tool to provide financial security during a life event, such as wile your child is in college. 

When your term life insurance products expire, the coverage ends.  You may renew the term policy however; you will most like have to pay a higher rate due to increased age or a possible decline in health.  There are some options that may be included in your term policy or available through purchasing a rider.  These options are; return-of-premium option which pays you back a portion of the premium paid for the term life insurance plan, accelerated death benefits which provides the a large portion of the death benefits to be available for the someone who is terminally ill, disability waiver of premium which waives the premium of a disabled person who has been disabled for six or more months, accidental death benefits which pay double or triple the face value of the policy if death was caused by an accident and policy convertibility that allows you to change your term life insurance products to a permanent life insurance products without going through the application process again.     

The other main category of life insurance products is what is called; whole life, variable life, variable universal life and universal life.  These are all examples of permanent life insurance products.  Permanent life insurance products are for people who need life insurance coverage for an extended period of time.  Permanent life insurance products are for people that can support higher premiums, premiums that may fluctuate with the benefits of the policy having a cash value.  This cash value can be supported by a fixed rate of return or by the stocks that back the rate of return on your permanent life insurance products.       

Etler-Kettenacker Agency is available to help you navigate you through all of the available life insurance products.  Once one is selected, EK Agency will find the best plan for the best premium for you and your family.