Whole Life Insurance

Whole Life Insurance is a policy that implies a yearly premium that can be fixed from the beginning of the contract or flexible, depending on your financial situation that may change from year to year.

While term life insurance offers you no benefit if you pass away one day after the stated term, although you paid all the premiums at time, whole life insurance gives you the certitude that your family will receive a cash value, after your death. With Whole Life Insurance you will assure a happy life for your beloved ones that depend financially on you.

There are six different types of Whole Life Insurances that you may be interested in. The Non-Participating insurance involves deciding upon all the conditions of the policy at the beginning. The policy owner has to respect these terms until the end of the agreement, when death occurs. The contract can’t be changed significant, not even the monthly payments. This is not recommended for those who don’t have a stable income or for those who run their own business, because they will have problems with paying the same rates every month or year. If the client fails to pay the premiums, the act is viewed as a contract violation and the insurance is finished, in consequence. You also won’t get back the money invested. In a Participating policy, the insurance company provides the policyholder with money in emergency cases. The premiums and payments are also flexible and they are related to the fluctuation of the client’s income. This is a more accessible and convenient type of policy. The Indeterminate Premium program is very similar to the Non-Participating one but, in this case, the premiums may vary from year to year. However, they will never overcome a certain limit stated in the agreement. An Economic insurance is situated somewhere between the Participating and the Term one. Although it lasts for a lifetime, its terms can be modified from time to time, according to your needs and to the changes in your finances. The Limited Pay insurance requires only a certain numbers of payments. You will have to pay premiums for ten or twenty years, but the policy will continue until the end of your life. Due to this facts, the rates will be bigger, in order to pay all the expenses in a short time. The Single Premium insurance is based on a big payment at the beginning of the collaboration that is settled according to your income in the first year. The Interest Sensitive is a type of insurance is a combination between the Whole Life Insurance and the Universal Life Insurance.

The Whole Life insurance assures a constant death benefit. You can go for any of the options presented above when it comes to the form of payment. The best thing about the Whole Life Insurance is that you know from the beginning what cash value your beloved ones will receive, so that you will be sure that they won’t encounter financial difficulties without you.