Advantages of a Whole Life Insurance Policy And Why You Need It

Whole Life Insurance policies are more expensive than the more popular Term Life Insurance policies but with the extra expense comes additional options that make Whole Life policies more attractive to many consumers when compared to Term Life policies. The most glaring advantage of Whole Life Insurance, besides the lack of expiration date, is the ability of the insured to take out a loan with the cash accrued by the policy, so long as the premiums are kept up to date, the policy and its advantages do not expire until the insured does. The term life policy, however, can expire before the death benefit is paid out, thus leaving the previously insured person in a position of attempting to find a new policy or renew the other policy at an older age that brings with it, higher insurance premiums.

Whole Life Insurance policies carry with them additional features that are hard for some people to resist, as well as beneficial riders that most people deem necessary for extra protection for their loved ones. The most popular riders added to the whole life policies are accident benefits and accrued benefits in the case of disability.

It is true that whole life insurance is more costly that term life insurance, but its premium is the same throughout life, as the policy is guaranteed throughout the insured’s life as well. Term life insurance might be cheaper for the first term, maybe twenty years for a policy, but then the renewal will base the insured’s new premium on their new “older” age and mortality bracket. If at this time the consumer decides upon a whole life policy at this older and wiser age, the premium will be phenomenally more than it would have been for the same dollar value policy twenty years earlier. In the end, the consumer ends up paying thousands of dollars more in the long run, having to purchase a more expensive life insurance policy later in life, and additionally, he or she does not have the extra twenty years of savings and investment income from the whole life policy. So, ageing might bring with it wisdom, but it also brings higher insurance premiums as well. In the case of whole life insurance, it pays to do a bit of research in order to make the better choice the first choice.

Those opposed to whole life policies will use the time honored saying, “Keep Insurance and Investments Separate!” However, as good as this idea may seem, it does not go on to explain that the consumers are expected to use the money they save each month with the cheaper term life premium and use that “extra” cash to invest and make money by investing themselves. First, a person must be committed to take an amount of money that is touted as “extra” and invest it each month in whatever they see fit. Second, in this time of financial hardship, people who are short on “extra” money might not really have the excess to invest, and probably wouldn’t know where to start when it came to investments and stock portfolios and the like. So, it might cost more in the beginning, but the whole life insurance carrier knows how to invest that “extra” money the insured consumers so willingly pay into their future and their families’ future every month. Leave investing to those in the loop and remember it is always easier to do things right the first time!

Getting a Cheap and Best Whole Life Insurance Policy

You may be someone who hasn’t considered their financial arrangements when you Passion, such as your funeral costs and money to be left for the financial stability of your family. Thus you should consider taking out and investing in a cheap whole life insurance policy, which will grow in value over time and ensure that your family are looked after financially.

This will be one of the ways that you will make sure that you are catering for the financial needs of your family after you pass away. You don’t want to leave them with a mountain of debts and the expenses that you had when you were alive, I am sure, and you will probably want to make sure that you have a funeral. if you believe that funerals aren’t that expensive then you should be aware that one average the cost of a funeral is the size of a small car – eight thousand dollars.

Having something like a whole life insurance policy in place will make sure that the relevant creditors are paid off and all debt that you left will be settled. If your family want to see you buried then they will need some capital to do this and so will pay for any funeral services with the money paid out. There should also be some left over for your family to invest in their future financial stability.

When you are looking for an insurance policy, you should be aware that there are many different types of whole life insurance policies, there is a variable version as well as a number of other different types. When you are looking and choosing, you should bare in mind that you will need to select a policy that is right for both you and your family and that you will need to have a policy that you can ensure will cover their financial well being.

Once you have been convinced that a whole life insurance policy is for you, you should look at the current market and what offers are available. Whilst you may be tempted to go with your current provider of your car or home insurance, sometimes this will work out more expensive for you, as they will be sub-letting the policy from a life insurance policy company who specializes in whole life insurance policies.

You should think of getting the best deal for your whole life insurance policy and even think about getting a cheaply priced policy. You should be able to make sure that you get adequate cover, yet pay a lot lower fee that is the norm, as many different companies are offering a number of different discounts for people who sign up with them as they are able to apply offers in the current credit crisis.

If you have current car and home insurance policies with other companies then they may be able to offer you a cheaper deal on your whole life insurance policy. You could also write down the information that they give you when you apply for a quote from them, as they will often be able to supply you with a quote that takes into account the other insurance policies that you have with them.

You shouldn’t need to spend more than a few hours on trying to find a whole life insurance policy as you will need to find a good rate, but shouldn’t spend too much time trying to do so.

Unclaimed Life Insurance Policies – Introduction

The business of life insurance is serious business and the business of unclaimed life insurance cash is a serious problem. Many people believe that a loved one who has life insurance at the time of their death somehow magically advises the company of their death and the policy is paid. That is obviously not the case. Just because someone had a life insurance policy and died doesn’t mean that their beneficiaries automatically get the money that the deceased wished to leave for them. Somebody who is still living after the insured’s death had better know where to locate that policy and provide it, along with documented proof of the insured’s death, to the insurance company or else insurance proceeds will not be paid out; and right now, today, as you read this, BILLIONS of dollars are waiting to be paid out!

Make no mistake – insurance companies are in the business of paying claims and that’s what they will try to do. But there is a procedure that must be followed and that procedure begins with notification.

Once the legitimacy of a claim has been established, funds will be paid out. If there is a problem with establishing legitimacy, funds will be held until any problems are cleared up. If problems are not cleared up and legitimacy cannot be established, money, which the company doesn’t get to keep but which also won’t go to intended beneficiaries, remains unclaimed… and right now, today, as you read this, BILLIONS of dollars are waiting to be paid!

The procedure must, however, begin with notification.

Now, what might you, the living insured, do to make sure that your insurance proceeds get paid out per your wishes? Well, aside from assuring that all of the pertinent policy information is accurate and up to date, you MUST make sure that beneficiaries know that they are beneficiaries and, ideally, where to Find Lost Life Insurance Policy documents. At the very least, you must make them aware of the company or companies that issued the coverage and policy numbers. Otherwise the payment procedure breaks down and money goes unclaimed. (Also, don’t forget that if someone that you have designated as a beneficiary predeceases you, you need to update your beneficiary designations).

What to Do if You Are a Beneficiary

If you are certain of being a beneficiary or you are an executor of the decedent’s estate but he/she never told you where to find the policy information or even the name of the company, there are things that you can do to find the information that you need.

To start with, if you have any idea of the financial companies that the deceased did business with, make some telephone calls. Ask to speak with someone in the Claims or the Life or Policy Owner Service area. Explain the situation and ask how you may request that they do a search for any coverage that may exist/have existed on your loved one. Or, if you know that the deceased had a financial adviser, definitely call him/her. There is a good chance that he/she will have the information that you are looking for.

Also, because many employees simply go with employer-provided group life insurance, if the decedent was still working at the time of death, check with his/her employer. Or, if he/she was retired and receiving a pension, check with the retirement administrator.

Safe deposit boxes are one of the places where people routinely keep important papers. Don’t overlook this possibility. If these efforts fail you can look into hiring a private investigator who may have resources and legal allowances that you don’t.

If you are a beneficiary, don’t put insurance proceeds… and your loved one’s wishes to provide for survivors… at risk. Talk to your insured loved ones while talk is still possible. The subject is not an easy one to bring up but it is one that must be addressed. Not doing so could frustrate your loved one’s wishes and cost you thousands, even hundreds of thousands of dollars.