Choosing Between Life Insurance Options

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Most people recognize the need for and importance of having life insurance coverage, but it can feel overwhelming and confusing to try to figure out what kind of life insurance is right for you. Fortunately, you don’t have to do this on your own, thanks to our professional team at Elite Benefits Group. We can help you analyze your needs, your reasons for taking out life insurance, and your budget, and help you determine which coverage best balances all of these factors.

Choosing Between Life Insurance Options

The following are some of the most common life insurance options, but there are others we can discuss as needed:

  • Term life insurance: These types of policies are not permanent. Instead, they provide a death benefit for a set number of years, typically 10, 20 or 30 years. They do not accumulate cash value. Some policies allow you to convert coverage to permanent insurance later.
  • Whole life insurance: These policies are traditional permanent coverage. They terms remain set as long as you keep the policy active, and it provides a death benefit to your designated beneficiary when you pass away. These policies usually do accumulate cash value at a set rate.
  • Universal life insurance: This is a more flexible type of permanent coverage. The death benefit and premiums can be adjusted, and there is a cash value and savings component.
  • Variable life insurance: This permanent life insurance option has a built-in investment component, which allows you to potentially grow the cash value of the policy faster, but there is more inherent risk as market fluctuations can affect the value.

There are many different factors to consider when you are choosing between life insurance options. Age, gender, health, and many other factors need to be considered, as well as financial risk tolerances and finding a monthly premium level you can comfortably afford. Because we are an independent agency, we can discuss products from a wide array of insurance companies. We can present multiple options to you, help you understand the advantages and potential drawbacks of each, and then will give you the time and space needed to make an informed decision.