Individual Life Insurance Policy Long Island
Whether you’re ready to buy an individual life insurance policy or simply shopping for a life insurance quote, let Blair Insurance help you understand where to find the right policy for your situation.
Unlike group life insurance plans which are often offered by employers, individual life insurance is paid for by you. That gives you the freedom to choose the kind of coverage you need and the benefits you want. While group plans may limit the amount of coverage your beneficiary receives, purchasing individual life insurance policies can give your loved ones peace of mind should something happen to you.
You need to take some steps before looking for a life insurance quote. You’ll want to decide who your beneficiary will be. Who do you want to receive money at the time of your death? It might be your spouse or significant other. You might want to direct the funds toward your children to pay for their education or get them started with their careers. You also want to figure out how you want the life insurance benefit to be paid. Do you want you beneficiary to receive a lump sum or a periodic payment like an annuity?
It’s important to figure out how much coverage you want and that means determining what your future expenses might be. Do you have a mortgage? Do you expect to pay college tuition for your children? How will your dependents pay for your funeral expenses and final medical costs? You need to weigh these future expenses against your various income sources including savings, security and how much equity you have in your home.
After you compare your expenses with your assets, it’s time to get a life insurance quote. You need to know about the various types of life insurance policies.
Term Life will cover you for a set period of time. For example, ten years. You’ll only be covered if your death occurs within that term. If you live longer you’ll need to renew the policy. These policies tend to offer the most coverage, but they’re more difficult to get when you’re older. They don’t offer cash value upon your death.
Whole life insurance policies are valid as long as you pay the premiums. These policies usually combine a death benefit with a cash value. As you pay the premiums, some money is set aside into an account you may borrow against. They tend to cost more and require a long term commitment.
Universal life is similar to a whole life policy, but it includes an investment component. Premiums are managed by an investment company and your policy’s cash value is tied to that investment portfolio.
Variable life policies also contain an investment component with death benefits and cash values tied to the fund’s performance. You’re paid the policy’s current cash value on the day you cancel.
There’s a lot to consider and a lot to of options to weigh when buying individual life insurance. Let Blair Insurance explain those options to you and give you a life insurance quote. Contact us today.