Life Insurance

Life Insurance can be a valuable asset to your mix of insurance coverage, especially if you have loved ones who depend on your income. At the very least, life insurance can cover outstanding debts and funeral costs, which can be significant.


Term Plan

Term plans are initially the least expensive and least complicated type of life insurance. It provides pure protection at an initial low cost for a specified period of time only, such as 1, 5, 10, 20 and maybe more.

If we died within the term period, a death benefit is paid to our beneficiaries. If we are still living at the end of the term, protections ceases unless the policy is renewable.

People with temporary or limited time period needs, e.g. duration of a mortgage.

It provides insurance protection to us at a low cost for specific period of time. If our needs change, some policies allow us to exchange our term policy for a permanent plan without having to take a medical exam or provide other information about our health.

Premiums generally increase with our age, see terms of each policy. Policy will be lapsed for non-payment if premium is not received within the grace period. Once the term period expires, the insurance coverage ceases and policy has no further value.

Permanent Life Plans

Permanent life insurance is distinguished from term insurance in different ways.

While term insurance provides protection only for a specific period of time, permanent insurance can provide protection for our entire life. In addition, permanent life insurance policies can build a cash value--money that you can borrow against and, in some instances, withdraw. (see each contract for provisions on cash values, loans, loan interest and withdrawals)

Permanent life insurance policies enjoy favorable tax treatment. Cash value growth is generally on a tax deferred basis, meaning that we pay no taxes on earnings in the policy so long as the policy remains in force. Consult with your tax advisor.

Make an informed decision!

Be sure to receive a brochure, read it carefully before you pay money,

examine your policy upon receipt, if not satisfied notify the carrier immediately.

Joint Survivorship

Is a life insurance policy that covers the lives of two people instead of one. However, proceeds are only payable after the second insured person's death. Joint survivorship is generally designed to help us protect our estate from inheritance taxes !

If we have or anticipate having large estates, or
other personal reasons. (consult with your estate plan attorney)

The cost is generally lower than insuring both lives individually
(depending on age differences) Policy may still be available
even if one of the two is uninsurable.

Be sure to discuss it with your estate planning attorney if you need such insurance and how much! Estate planning attorneys can help reduce expenses associated with probate
court and lowering estate taxes
by proper planning in advance!
IRS Form 1041 U S Income Tax Return for Estates and Trusts