Life insurance can be a difficult topic to discuss, as many people do not like to think about the possibility of dying. However, it’s important to not only discuss the future but also to understand what can be done about the inevitable and prepare your loved ones for your passing.
When talking about life insurance policies, it’s important to note that there are two principal types of life insurance: term and whole life. Here is a brief overview of both types:
Term insurance is your basic choice for life insurance. When you choose this life insurance plan, you determine how long the policy will last–typically from one to 30 years. It’s important to choose an amount of time that is reasonable, as a payout will only occur if you should pass away during this pre-determined timeframe. There are two types of term insurance, which include level term and decreasing term.
- Level term insurance means that the benefit does not change.
- Decreasing term insurance means that the benefit drops as time goes on in the policy and usually decreases annually.
Most people choose the level term, but you can decide which is best for you by speaking with an Ameri Quote Insurance expert.
Also known as permanent insurance, this means that your life insurance will be paid to your beneficiaries whenever you die with no time limit. There are several options within a whole life policy, so it is important that you are able to discuss all of your options before making a decision about which plan will fit your needs best.
Even if you have an idea in mind about which would be best for you, make sure to talk to the professionals at Ameri Quote Insurance to discuss all of your options. We look forward to speaking with you soon!