Co-Founder, TermInsuranceBrokers.com, Goldenzweig Financial Group, Las Vegas, Nevada
The two basic types of life insurance plans are term insurance and permanent insurance. Within that, there are different categories of each type.
For term insurance, you've got fully underwritten coverage with exams (which will generally provide you with the lowest premiums) and non-medical programs. Non-medical programs generally feature very similar underwriting requirements as fully underwritten programs, but without the requirement of an exam. While a carrier may not request a doctor's statement for every policy, they reserve the right to order one.
For permanent insurance, you have universal life and whole life insurance. Whole life insurance will generally be the most expensive, but provides fixed premiums for life and a consistent build-up of cash value in the policy. Universal life is a flexible program that puts less emphasis on cash value and more on the death benefit. Many people will set up a guaranteed universal life policy (GUL) to maximize their death benefit and guarantee the premiums for life.
There are other types of life insurance programs out there, but this gives you a brief overview.
Living Debt Free & Truly Wealthy, The found money specialist, United States
The different types of life insurance is term insurance, which is a specific time frame that could be 10 years , 20 years, 30 years. Term is initially the cheapest but over time the premiums can go up. A term contract ends after you reach the term agreement year.
You have whole life which is a permanent life insurance. As long as you make your premium payments you will own the policy for life. Whole life insurance builds cash value over time. You can use the cash through policy loans.
You have index universal life insurance which is a product that also builds cash value over the life of the policy. It's also a permanent policy as long as you make the premium payments. The unique feature of index universal life is you can have stock market like returns that will give you the upside potential without the downside risk.
There are many more life insurance products, however this should give you an head start on whats best for you.Always speak to a licensed professional life agent for more details.
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For term insurance, you've got fully underwritten coverage with exams (which will generally provide you with the lowest premiums) and non-medical programs. Non-medical programs generally feature very similar underwriting requirements as fully underwritten programs, but without the requirement of an exam. While a carrier may not request a doctor's statement for every policy, they reserve the right to order one.
For permanent insurance, you have universal life and whole life insurance. Whole life insurance will generally be the most expensive, but provides fixed premiums for life and a consistent build-up of cash value in the policy. Universal life is a flexible program that puts less emphasis on cash value and more on the death benefit. Many people will set up a guaranteed universal life policy (GUL) to maximize their death benefit and guarantee the premiums for life.
There are other types of life insurance programs out there, but this gives you a brief overview.
You have whole life which is a permanent life insurance. As long as you make your premium payments you will own the policy for life. Whole life insurance builds cash value over time. You can use the cash through policy loans.
You have index universal life insurance which is a product that also builds cash value over the life of the policy. It's also a permanent policy as long as you make the premium payments. The unique feature of index universal life is you can have stock market like returns that will give you the upside potential without the downside risk.
There are many more life insurance products, however this should give you an head start on whats best for you.Always speak to a licensed professional life agent for more details.