Life Insurance Benefits
If you’re like most, you think of life insurance as a policy that provides death benefits for your loved ones after your death. That’s the tip of the iceberg as life insurance policies offer multiple added values. In fact, they offer more benefits that most other assets. Forbes online (www.forbes.com) published an interesting article focusing on ways that life insurance can benefit you. Some of their tips are:
Access to Cash. After your policy accumulates, a policy loan becomes available for you to withdraw money for anything you need – from a family necessity like college tuitions or home repairs, to financing a business opportunity.
Asset Protection. It offers a financial fallback for your family to help offset estate taxes.
Accumulation. Life insurance cash values are guaranteed.
Flexibility. Life insurance policies allow you to access your accumulated cash value without the restrictions that other assets impose.
Financial Security. After cash values have built up over the years you can access the funds in a few different ways. You could cash in the policy and convert it to an annuity, keep some of the death benefit and access some of the cash or just continue the policy to provide protections for your family.
Insurability. Permanent life insurance that is in good standing (i.e. the premiums are paid) will provide coverage for your entire life, even if your health or personal situation changes.
As you can see, life insurance policies offer multiple benefits. Talk with the insurance pros at ARCW and remember that benefits are greater the longer the policy is in effect. Don’t delay if you haven’t got a life insurance policy – start the year off insured!
Business Life Insurance
Life insurance isn’t just to cover ourselves – it can be a real asset for your business too! Look at it this way… you own a business and you have a key person that is vital to the success of your company. This person is so important, that it he or she suddenly died it would have a real detrimental effect on the company financially. Having a key person life insurance policy on that key person protects the company and would provide the operating costs for the company to continue its operations while it searches for a replacement person.
This protection applies to all sizes of businesses. For small companies, the key person is most likely the owner. If that owner dies, the company might have to close its doors if there was no policy in place. For medium to large companies, the key person (or persons) could be an employee that is responsible for bringing in a major portion of the income and whose death would result in a sudden loss of revenue.
There are many more advantages for a business to have life insurance policies. For example, having a group life insurance plan can be a real tool for employee retention. This is especially true for employees with health issues that can’t afford the high premiums of purchasing their own policy. A group policy is especially appealing to them.
Life Insurance for Breast Cancer Survivors
Cancer is not a fun topic to discuss. But with so many people being diagnosed, we thought it would be prudent to reinforce the fact that cancer survivors can purchase life insurance. You may think it’s not affordable or available, but it is. Shruti Gupta published an article on TGdaily.com last month that outlined the vital details that breast cancer survivors need to provide their life insurance agent when purchasing a life insurance policy. Details of the cancer history needed include:
- Type of breast cancer
- Date of diagnosis
- Stage of the cancer
- Size of the tumor
- Any involvement of lymph node or metastasis
- Type of cancer treatment
- Date on which treatment stopped
There are two major types of life insurance for breast cancer survivors: Term Life Insurance and Final Expense Insurance.
- Term life insurance is purchased for a specific period of time from 5 to 30 years. This type of policy offers the maximum benefit for the lowest premium. An advantage of this is that your beneficiaries will not need to pay income tax from the benefit.
- Final expense insurance offers maximum final death arrangements coverage and is available without any medical examinations.