In purchasing life insurance, there are two primary types: term and permanent life insurance. J1 Insurance Agency LLC's Texas agents will advise you concerning what insurance products meet your needs and that of your family. It is crucial to prevent your family from suffering from financial troubles if you were to pass away unexpectedly.
Permanent Life Insurance
Permanent life insurance consists of whole and universal life policies. Permanent life Insurance does not expire and continues to your death. Permanent life also has a savings benefit and, as such, has a cash value which provides the policyholder with borrowing privileges. Many times permanent life insurance policies are taken out by young families because of the savings portion, which can support a child's plans such as education.
Universal Life Insurance
Universal life insurance offers flexible premiums which, unlike whole insurance, will give one the opportunity of increasing the death benefits by over funding the policy. As a result, cash value can be built quicker than whole life, which makes investments more attractive, especially because the investment is tax-deferred and the cash value gains interests. The interest can be applied to the future cost of the life insurance policy.
With universal life insurance, you have the best of the worlds of investment and life insurance. However, it is clear that universal life, unlike whole insurance, is very sensitive to changes in the economy and the stock market. The emphasis on universal life as an investment tool risks losing the value of the death benefit which is reduced by any unpaid universal life Insurance loans at the time of your death.
Term Life Insurance
The stage of your life and the number of dependents will, in many ways, determine the best life insurance policy. Are your children grown? Did you divorce? While "term" has all the benefits of whole life insurance, the policyholder is insured only for a fixed period. This can last from periods of 5 to 30 years.
Contact J1 Insurance Agency LLC to talk with our agents about how to get started on a life insurance policy. Our agents are prepared to discuss your life insurance options. Please visit us or call for more information and a quote.