"Our mission is providing the right products for our customers in helping them take care of their insurance, as well as financial investment needs, both short term and long term." ~ Tim Joslen
Portland / Vancouver Metro - 360-256-7536
Life Insurance and Annuites
A Little Better Understanding
Life insurance provides payment in the event of death, enabling surviving family members to grieve without the worry of financial ramifications. A variety of life insurance plans offer options suitable for individuals, families and retirees. But not all offer the same benefits. Understanding the differences in policy terms and coverage affords individuals the opportunity to make informed decisions.
An annuity contract is created when an insured party, usually an individual, pays a life insurance company a single premium or a premium over time that will later be distributed back to the insured party over time. Annuity contracts traditionally provide a guaranteed distribution of income over time, such as via fixed payments, until the death of the person or persons named in the contract or until a final date, whichever comes first.
Here is some explanation on some of these policies we can help you with.
Term Life Insurance -Term life insurance is life insurance which provides coverage at a fixed rate of payments for a limited period of time, the relevant term. After that period expires, coverage at the previous rate of premiums is no longer guaranteed and the client must either forgo coverage or potentially obtain further coverage with different payments or conditions. If the insured dies during the term, the death benefit will be paid to the beneficiary. Term insurance is the least expensive way to purchase a substantial death benefit on a coverage amount per premium dollar basis over a specific period of time.
Whole Life Insurance - Whole life insurance is a life insurance contract with level premiums that has both an insurance and an investment component. The insurance component pays a stated amount upon death of the insured. The investment component accumulates a cash value that the policyholder can withdraw or borrow against.
Universal Life Insurance - Universal Life Insurance is a type of flexible permanent life insurance offering the low-cost protection of term life insurance as well as a savings element (like whole life insurance) which is invested to provide a cash value buildup. The death benefit, savings element, and premiums can be reviewed and altered as a policyholder's circumstances change. In addition, unlike whole life insurance, universal life insurance allows the policyholder to use the interest from his or her accumulated savings to help pay premiums.
Indexed Life Insurance—Indexed Life Insurance is a permanent life insurance policy that allows policyholders to tie accumulation values to a stock market index. Indexed universal life insurance policies typically contain a minimum guaranteed fixed interest rate component along with the indexed account option. Indexed policies give policyholders the security of fixed universal life insurance with the growth potential of a variable policy linked to indexed returns.