Heart Breaking News

Nothing is more heart breaking than to hear of someone passing who leaves unpaid bills and loved ones poorly provided for.  And literally, here in the United States, it happens every day; 6,912 people die every day leaving bills unpaid and loved ones inadequately provided for.[i]

But it doesn’t have to be that way.

Today the cost of life insurance is lower than it ever has been because we are living longer.  And so, unlike in years gone by, you can purchase life insurance today that, over time, will actually be of no cost to you!

Obviously, this is an important fact to know.  But before you run out and purchase a life insurance policy, realize that NOT ALL life insurance contracts provide this guarantee.  You see, not all life insurance products are the same.

Here are a few facts that will help you determine what kind of life insurance is best for you so that you; 1) Have opportunity to recover ALL the money you spend paying for your life insurance, 2) Have the ability to manage more money because you purchased your life insurance, and 3) Never have to worry if your life insurance premiums will go up in the future or that you will be forced to drop your life insurance coverage just when you need it most down the road.

1. There are basically two types of life insurance
   1. Term
   2. Permanent
2. Term Life Insurance is for a certain period of time and the cost for it will increase over time
   1. It is inexpensive when you are young and/or healthy and becomes very expensive
      1. If you have health issues like diabetes, heart disease, cancer and if you are over 70
   2. Permanent Life Insurance is based on having coverage for your entire life time
      1. Universal Life Insurance is a “permanent” type of life insurance which is basically a Term Insurance that invests the “extra” premiums you pay
      2. The cost of Universal Life Insurance, therefore increases over the years
         1. Universal, Variable Universal and Indexed Universal are all different kinds of Universal Life Insurance and NOT ONE of them can guarantee your coverage for your entire life time without increasing the cost for the Term Coverage that it is based upon
         2. This increased cost could cost you your coverage later in life when you need it the most
      3. Whole Life Insurance is a permanent type of life insurance that has a fixed premium for your entire life time. The premium can be reduced in the future, but it can never go up and, therefore you will not face losing your Life Insurance coverage in your later years when you are most likely to need it
         1. Participating Whole Life Insurance is a permanent type of Whole Life Insurance that participates in the dividends of the insurance company that issues these types of contracts
         2. Annual dividend participation reduces the cost of your insurance coverage over time and can become significant enough to completely recover the premiums you have paid within 8 to 10 years[ii]

Knowing these facts about life insurance is important because with a combination of separate Term Life Insurance and Participating Whole Life coverage you can enjoy the guarantees that you need to recover ALL the money you spend on the purchase of Life Insurance. You also benefit from the opportunity to manage more money because you made your life insurance purchases, and you never have to worry about your life insurance premiums going up in the future.  On top of that, you can rest assured that you’ll never become the Heart Breaking News leaving unpaid bills or loved ones un-provided for when it comes time for you to move on.

[i] https://www.google.com/webhp?sourceid=chrome-instant&ion=1&espv=2&ie=UTF-8#q=death+every+day&*   https://www.google.com/webhp?sourceid=chrome-instant&ion=1&espv=2&ie=UTF-8#q=people+with+out+life+insurance&*

[ii] On an average healthy 25-50 year- old male or female