Instant Term Life Insurance Quotes Now
The Advantage One Insurance website helps you find the right insurance policies to best suit your needs. If you're interested in getting a quote first read our brief introduction to the basics of life insurance below, then answer a few questions about yourself in the form in the right hand column, and we'll instantly generate quotes from over 140 companies to find what's best for you.
Term Life Insurance
If you're looking for a basic life insurance package, or no medical exam life insurance, you're probably after term life insurance. This covers the all the essentials and is also the cheapest type of life insurance.
You pay a fixed rate over a specific amount of time (or term - for example 10 years, 15, 20 year term, or 30 year term) and the insurance company pays out a lump sum if you die within that time. These policies insure your life, but do not provide any additional form of investment.
If you want to increase the certainty of a payout, perhaps a form of permanent life insurance is best for you. These schemes do not expire (provided you keep up with payments) and they also build you a pot of savings. There are two popular types of permanent life insurance:
Whole Life Insurance
You'll get a guaranteed payout on your death, as long as you continue to make your payments, so these plans are sometimes known as 'whole of life insurance'. In addition, your payments also build an investment fund (a cash value) which can be withdrawn or borrowed against. This cash value remains tax-deferred until you take advantage of it.
As your beneficiaries are certain to get an insurance payout and you will be creating an investment fund, whole life policies are usually more expensive than term life insurance.
Universal Life Insurance
Universal life insurance is a permanent life insurance with added flexibility. As with whole life, it also invests a part of your premium in a tax-deferred, interest accumulating savings account, but additionally it allows you to use the interest from this to pay your monthly premiums. The policy will cover your whole life too, not just a fixed term.
You can review the allocation of your payments into the death benefit and into the savings pot at any time, and can also move money between the two. All this flexibility means universal life insurance is better for those who are looking for a longer term plan, because your premium will start high and it will take time for the investment to start paying for itself.
We hope this overview of life insurance helps making the right choice even easier.
ABOUT TRUST ONLINE