Life Insurance, Pelham, AL

Many Purposes for Life Insurance

Life insurance is far more than just a decision of how much to buy. Depending on your financial situation, life insurance can be used for a variety of purposes, such as:

• Providing for your spouse and children

• Paying off your mortgage and other debts

• Transferring wealth or business interests

• Accumulating cash on a tax advantaged basis

• Achieving estate tax liquidity

Life Insurance is like auto insurance in that you can buy a lot of it or not very much at all. Life insurance differs from auto insurance in that, depending on the type of policy you buy, you can pay a lot or a little for basically the same death benefit. Keep in mind, though, that the younger and healthier you are, the less you will pay for coverage. Life insurers really, really like to have their policyholders around for a long, long time.

So how much life insurance do you need? It depends. One common benchmark is your death benefit should be about six to eight times your annual earnings, but there are a variety of factors to consider:

• Other income sources.

• The size of your family.

• Whether your spouse works and his or her earning capacity now and in the future.

• The number of people who are financially dependent on you and for how long.

• The death benefits your family will receive from Social Security and any life insurance plan at your work.

• And any special needs such as mortgages, college education funds and estate planning.

A"one size fits all" approach doesn't apply when it comes to selecting the right insurance coverage. Let us work with you to determine your exact needs.

There are several types of Term Insurance you can consider:

• Renewable Term Insurance- allows renewing the term at the end.

• Convertible Term Insurance- to convert into a permanent policy.

• Level Term Insurance- fixed premium for a fixed number of years.

• Decreasing Term Insurance- Same premium for decreasing coverage.

• Increasing Term Insurance- Increase in premium for future needs.

We also provide you with Permanent insurance products:

• Whole Life

• Universal Life

• Variable Life

• Variable Universal

• What expenses will my loved ones face?

  Common expenses that a family faces upon the death of either spouse include:

  • Final medical costs

  • Funeral costs

  • Probate costs

  • Maintaining a standard of living/replacing lost income

  • Child care and education

  • Mortgage/outstanding debt

   

  We sincerely appreciate each and everyone of our clients and we look forward to your joining us.

   

   

Contact our office to customize your Life Insurance coverage.