Lifetime Term Life Insurance?

I know, there really isn’t a product know by this name.  However, if it walks like a duck, etc., etc., it is a duck.  A Universal Life Insurance policy with lapse-protection is a policy that lasts a lifetime (until age 121, in most cases).  These policies won’t typically accumulate cash-value, like a whole life policy or universal life policy (without the lapse protection).  Even when the cash value dips to zero, something that would be cause for alarm in a standard universal life policy, the death benefit and premiums are still guaranteed (provided the premiums are paid in a timely fashion).  Let’s recap – guaranteed level premiums, guaranteed death benefit, no cash value – sounds like a term life insurance policy to me.

We quoted one of these policies for this gentleman and, if approved at the best health class, his premium would be $21,000 annually for a $1,000,000 death benefit.  Would this make sense for this gentleman?  If he could predict that he would die before age 88, the term policy would be the best choice, but being that he can’t, it would make sense to me for him to go with the policy that will pay the death benefit, regardless of how long he lives.

Term Life Insurance on a Universal Life Insurance Chassis

It seems that I’m not the only person with this idea.  Several life insurance companies have ditched their term policies and replaced them with, you guessed it, guaranteed universal life policies with fixed-year guarantees – 10, 20 and 30 years.  So now these universal life insurance policies are looking exactly like the term policies they replaced.  And, there’s no downside to the consumer.  These policies perform life a term policy and are even priced to be competitive with term policies from other companies.

For term life insurance quotes or universal life insurance quotes, click the “Start your Instant Quote” button at the top of this page.

For example, a healthy 25 year old, non-smoking  male will pay as low as $360 annually for a 30 year level-term policy from an A-rated company.  He will pay as low as $625 for a 30 year return of premium policy, about 75% higher than a level term.  Why would someone pay this much more for this type of policy?  Simple math will tell you that at the end of the 30 years, if you survive the policy (which is a good thing), you will be out of pocket $10,800 for the term policy.  On the other hand, if this same person had purchased this regular term policy, he would have received $18,750 at the end of the term.

But you say you could purchase the term and invest the difference ($265 annually) and do better than this?  Maybe you can, but you would have to earn 5.08% annually to beat these numbers.  Do you have confidence you can earn that much on your investment, especially in these uncertain financial times.

Now, as you get older, the difference in cost between the two is greater, so you would have to evaluate whether or not it makes financial sense for your situation.  For example, a healthy, non-smoking 40 year old male would pay as low as $621 for a 30 year level term insurance policy, whereas he would pay as low as $1370 for a 30 year return of premium term life insurance policy.  If you purchased term and invested the difference ($749), you would have to earn 3.65% annually to get back the same $41,100 you would have gotten back from the return of premium policy after 30 years.

To get quotes for both term life insurance and return of premium term life insurance, click the Start Your Instant Quote button above

Unlike our term life insurance quotes, the quotes provided for universal life insurance are meant to last a lifetime. If you find yourself in a position where temporary coverage seems like a better option, simply switch to our term life insurance quote engine. However, only permanent life insurance can provide coverage for something that is guaranteed to occur. Permanent life insurance and, in this case, universal life insurance, ensures that beneficiaries receive financial compensation when a policy holder passes on.

Just like term life insurance, universal life insurance is a great idea for anyone who is relied upon to provide for their family members. Unlike term life insurance, universal life insurance will pay beneficiaries whenever a policy holder passes on. When looking over universal life insurance policies, we encourage our customers to take their time. If any questions should arise, we welcome phone calls or e-mails.  When you have universal life insurance questions, we have answers.

As a Texan there are numerous competitive life insurance policies available for you. LifeInsure.com has years of experience providing Texas term life insurance, universal life insurance and whole life insurance for Texas residents.

What’s distinct about LifeInsure.com is that you can get your term life insurance quotes and return of premium term life insurance quotes in the comfort of your home or office without submitting any personal information. This gives you the ability to anonymously check out the marketplace for life insurance . It’s only after you find what you like that you email or call us to start your insurance application and get answers to all of your questions.

At LifeInsure.com, we have no special allegiance to any one life insurance company.  Our loyalty is to you and getting you the right life insurance policy, from the right life insurance company at the right price.

To get started, fill out the quote form  for term life insurance. You may also want to look at return of premium life insurance quotes, whole life insurance quotes or universal life insurance quotes as well.

As long as there has been life insurance, there has been an ongoing controversy about which type of life insurance is best whether it is term or permanent life insurance like whole life or universal life.

There really is no controversy, but it seems like there are some interests that may want to fuel the debate. Investment companies that market investments may have helped fuel the “hullabaloo”. Why? It makes sense that if people tied up their money in whole life insurance with guaranteed values that they may not want to or have as much cash to invest in mutual funds or other investments. Thus is born the concept of “Buy term and invest the difference.”

This was compounded in the 80’s and 90’s by a promoter named A.L. Williams who took this concept to major proportions. Mr. Williams was a charismatic speaker and he combined the almost evangelical fervor of his marketing with the pyramid-like structure of multi-level marketing unknown to the conservative insurance industry. Thus, through negative publicity built on the vested interest of making term and mutual fund sales, whole life suffered in the public eye and in the media. This tradition is carried on by people like Suze Orman.

The fact is that there is a place for both types of life insurance depending on the circumstances of the individual including their age, income, financial position and family makeup. It makes no sense for a young family scraping by with young kids and a limited budget to buy $50,000 of whole life instead of $500,000 of term. Get what you need for your family!

On the other hand, a family with high disposable income can take advantage of the benefits of a quality whole life insurance policy. The number one value of whole life (or universal life) is that it will last a lifetime. If you keep a whole life policy, it will pay the claim to your beneficiaries. There is no such guarantee with term. In fact, the vast majority of term life insurance policies do not pay a claim.

The fact is that 100 percent of the death benefits of whole life policies which are kept (payments are made) result in a claim. Furthermore, because one paid more for a whole life policy, a reserve or “cash value” with tax deferred interest is generated, often very competitive interest.

To summarize, the most important point is: Get enough life insurance – a lot. Then look objectively into which type based on your circumstances. Experts at a website like LifeInsure.com can help advise you in which direction to go.

When we think about passing on, there are a lot of questions that come to mind. Most of the questions we consider involve the well-being of the loved ones we will leave behind. Term life insurance provides peace of mind, when it comes to these questions. If you should pass on during the term  of coverage, you will be leaving your  family a financial safety net. This safety net allows people to live their life to the fullest. Every moment of life is precious. Why worry about the financial state of your family in the event of an untimely death? Use our state of the art term life insurance technology and ease your mind.

Once you have the peace of mind of term life insurance, it can open up more financial freedoms. Treat yourself to a personal purchase, knowing that if something should happen to you, your family will be  financially protected. With term life insurance protecting your loved ones, you can spend more time enjoying each and every day of your life. Our term life insurance coverage is easy to use, and will find the best insurance plan to fit your needs. Don’t wait another second. Find your term life insurance plan today.

• One advantage of Term life insurance policies is that they allow you to choose the length of the term. For example, you may have the option of deciding on a policy that will cover up to 30 years or you have the option of less coverage. The duration of the term and coverage decision is yours.

• Your term life insurance payments will not increase over a period of time. Once you start paying your monthly premium, it will stay the same amount until your last payment.

• If you have dependents they will receive the amount specified in your insurance agreement in case of your premature death. There is no worrying whether you not your loved ones will be cared for when you are gone.

• Term Life Insurance gives you flexibility that other types of insurance do not like selecting coverage that fits your lifestyle. For example, people who are married without children will not be interested the same coverage as people who are married with children.

• The cost of term life insurance tends to be less expensive than other types of life insurance, because it is only is for a set number of years. The insurer most likely will not have to deal with a claim since most often the policy holder lives out insurance.

Insurance companies are trying to be competitive with their term prices, but the costs associated with maintaining their reserves, as regulated by state insurance commissioners, have risen.  According to Kinnaird, while the products have to be competitive, they have to be sustainable for the long haul and, as a result, need to be priced appropriately.

The good news is that if you secure a term life insurance policy now, you can lock in premiums for the next 10 to 30 years.  So, if you have been procrastinating, get busy.  You can start by getting a quote here.

When you first set out to  purchase life insurance, you thought it would be fairly simple.  However, being confronted with all these options can make one’s head spin.  Then, you start getting conflicting opinions from different sources – whole life is the best choice, buy only term life, buy term and invest the difference, etc., etc.

I can make it fairly simple for you to make the right choice.  What are your needs for life insurance?  Are you interested in death benefit only or are you looking to accumulate some cash value with your policy?  Are you looking for coverage for a specified term or will you need life insurance for your whole life?  Once we determine the length of time you need the insurance, we then look at what product is the most appropriate for you.

If you are only interested in a death benefit for a finite period of time, the choice is easy – term life insurance is most probably the best choice for you.  You can also look at a return of premium policy, which pays you all your premium back at the end of the term (provided you survive the term period).  Return of premium term is usually priced well for younger ages.  As you get older, the added cost for this type of product might have you looking at regular term insurance again.

If you’re looking for a lifetime benefit with the potential of accumulating cash in the policy, I believe that whole life insurance, when structured properly, is a wonderful product.  It has guaranteed death benefit, guaranteed premiums and guaranteed cash values.  The only reason I don’t recommend it to everybody is because it can be cost-prohibitive to many folks.  However, if you have a positive cash-flow and are fully maxed-out in your qualified plan (401K, IRA, etc.), this is a great vehicle for accumulating additional tax-favored savings, in addition to the life insurance benefit.

If you want lifetime protection and don’t care about cash accumulation and whole life premiums don’t fit your budget, I would recommend a universal life policy with lapse-protection.  These policies will not generally accumulate much cash value and, even if the cash value drops to zero, the death benefit and premium are still guaranteed.  We often call this product lifetime term insurance, because it guarantees the death benefit and premium and will most probably not accumulate cash, and you are covered for your whole life, rather than a specific term.

Once we ascertain a client’s needs (and budget), we will assist in choosing the right product.  Sometimes, we will present a combination of term and permanent, as the immediate need for life insurance may be greater than it will later in life, although there will still be a need (funeral costs, debt elimination, etc.).

We recommend to our clients to do a policy review every couple of years, as needs change and, when needed, policies can be modified, dropped or added to.

Mortgage insurance or mortgage protection insurance is a life insurance policy that would pay off your mortgage in the event of your death.   You would typically purchase a life insurance policy (usually term) that would pay off the mortgage in the event of your death so your beneficiaries wouldn’t be burdened with mortgage payments.

We used to see many mortgage insurance products with a decreasing benefit that matched the decreasing loan obligation over the period of your mortgage (typically 30 years).  However, these types of policies seem to have fallen out of favor in recent years as regular term life insurance policies became less expensive.

Most of our clients purchase term insurance to cover not only their mortgage, but also other debts, college education for the children and living expenses for the family.  So, while it is important to have enough life insurance to pay off the mortgage in the event of your death, it’s also wise to have enough of a death benefit to cover other expenses.