|
Should I get Group Life Insurance or Term Life Insurance? The Underwriting Process |
 |
 |
 |
|
Written by Fred Miller Myterm.com
|
|
Thursday, 18 February 2010 14:58 |
|
Should I get Group Life Insurance or Term Life Insurance? The Underwriting Process The Underwriting Process To answer this question, we first need to explain the difference between Group Life Insurance and Term Life Insurance. Group Life is a policy taken on a group of people, usually this is composed of people who work for the same company or institution. A group policy allows everybody in the company (Group) to purchase a limited amount of insurance based on a multiple of their annual income. So the group is underwritten as opposed to the individual. When a group is underwritten, this takes into account that within the group there will be healthy and unhealthy employees. Therefore the rates you will pay for you life insurance will not be the best you can get if you went on your own. They will be priced to account for both healthy and unhealthy employees. Individual Term Life Insurance is an underwritten solely on the life of the person who is applying for insurance. Therefore if you are healthy and have no underwriting issues it’s to your advantage to see if you can get much better rate by having your own individual policy rather then paying into a group policy. When a healthy individual takes part in a group policy they subsidize those who are less healthy. Their premium dollars offset the higher rates of those how would have to pay more for life insurance if they were to go off on their own. Therefore if you spend the time to compare what you are paying in your group policy and how much the same amount would cost you as an individual you might be amazed at the difference. Many people find they can literally double the amount of coverage for the same price as they are paying for a group policy. Let one of our account executives at MyTerm.com review your policy and see what the advantages might be for you today. . |
|
Last Updated on Thursday, 18 February 2010 15:14 |
|
|
What is Term Life Insurance? |
|
|
|
|
Written by Administrator
|
|
Wednesday, 17 February 2010 20:33 |
 What is term insurance?
Term insurance is as the name implies, it is insurance for a “Term” a period of time. Now this period can be (1,5,10,15,20,25,30) one-year, five-years, ten-years, twenty or even thirty years. Term insurance is designed to cover your life in the event of death during the term. For example, if you just purchased a house and the mortgage is for thirty or fifteen years, then term insurance of fifteen to thirty years can cover your life in event you die before the mortgage is paid off. Another example is if you have young children, a twenty year policy can cover your life during their growing years, so your family would be left without your economic participation. At the end of the term insurance policy, your rates will go up. The reason for this is the term policy locks in your premium at the beginning of the term. So at the end of the term, your rates can go up considerably depending on your age before and after the term. Therefore if you are buying the term insurance for the purpose of covering your life for the longer term, its not to your advantage to buy a shorter term policy. The reason for this is because you will have to pay a much higher premium the second half, if you can even get insured. Depending on the company, you will need to qualify for the term life insurance when you apply the second and third time for the policy. Therefore its to your advantage to find the right company in the beginning and lock in the coverage for the term of your life you need. If you have any questions, please have one of our advisors at MyTerm.com go over you needs and current status to find the right policy for you. |
|
Last Updated on Wednesday, 17 February 2010 20:49 |
|
What is Return of Premium Life Insurance (ROP)? |
|
|
|
|
Written by Administrator
|
|
Tuesday, 10 March 2009 12:09 |
|
What is Return of Premium Life Insurance (ROP) ? Return of Premium Life is term life insurance with the benefit of receiving a refund of the premiums paid during the life of the term. Term life insurance is just like the name implies “term” it insures a term of your life. The term could be 5, 10, 15, 20 or even 30-years. |
|
Last Updated on Tuesday, 10 March 2009 12:20 |
|
Read more...
|
|
|
How much life insurance do I need? |
|
|
|
|
Tuesday, 10 March 2009 11:03 |
 How much life insurance do I need? In most cases, if you have no dependents and have enough money to pay your final expenses, you don’t need any life insurance. If you want to create an inheritance or make a charitable contribution, buy enough life insurance to achieve those goals. If you have dependents, buy enough life insurance so that, when combined with other sources of income, it will replace the income you now generate for them, plus enough to offset any additional expenses they will incur to replace services you |
|
Last Updated on Tuesday, 10 March 2009 11:12 |
|
Read more...
|
|
Why should I buy life insurance? |
|
|
|
|
Friday, 06 March 2009 23:57 |
|
 Why should I buy life insurance?
Many financial experts consider life insurance to be the cornerstone of sound financial planning. It can be an important tool in the following situations:
Replace income for dependents If people depend on your income, life insurance can |
|
Last Updated on Tuesday, 10 March 2009 11:54 |
|
Read more...
|
|
|
|
|
<< Start < Prev 1 2 Next > End >>
|
|
Page 1 of 2 |
Life Insurance 101
