3008 State Rte 5 suites B & C Cortland, OH 44410

Life Insurance

Addressing our mortality is not fun, but it is necessary and responsible to spend some time considering and planning for the inevitable. Life insurance is a major factor when planning for the financial well-being of loved ones in the event of your death, as well as your financial well being in the event of your loved ones departure.

While there’s really no way to specify when life insurance is urgent, being prepared is always a good place to start. Here are some practical reasons why you can consider life insurance:

If you already have a mortgage, a life insurance plan will provide financial relief to anyone who may inherit the debt.

Married couples often opt for life insurance policies that ensure one spouse’s financial welfare if the other spouse were to depart.

Life insurance plans are also a way to secure a child’s future. Nutrition, education, health care, etc., can all cost a lot. Without a parent alive, life insurance plans can supplement these costs for a child.

Finally, securing the financial obligations of one’s funeral is another big reason why people opt for life insurance.

Types of Life Insurance

There are two types of Life Insurance and then many variations within each style to address your particular needs.

Whole Life Insurance

With these plans, there are no specified periods where the insurance is valid. The insurer is obligated to pay up regardless of when the death occurs. So, one could live to be over 100 and still be eligible for the insurance amount upon one's death. There are a few variations of Whole Life Policies.

Final Expense is an example of a Whole Life Policy. These plans generally have simplified medical review and have smaller payouts to help cover final arrangements.

Other Whole Life Plans involve a more thorough evaluation of health for amounts $100,000 and greater. Some Whole Life Insurance Policies can be used as legacy inheritance and some as an investment strategy. When looking at Life Insurance to be used as an investment tool, I encourage you to speak to your financial advisor to see how that can fit into your portfolio.

Term Life Insurance

With these plans, there is a specified term set for the policy, which can range from one year or go up to 30 years. The company pays only if the applicant's death happens during this specified term.

These plans are generally less expensive than whole life plans and therefore you can get more coverage for less money for a specified amount of time.

You can use these plans to cover the cost of large investments in the event of death (such as a mortgage), and also for young families to help relieve the cost of raising children with the loss of one or both parents.

There are many other useful applications of a term policy. We can discuss how this policy can fit into your estate planning.