Life Insurance

Life Insurance Explained


Obtaining good life insurance for you and your loved ones gives you the ability to pass on wealth to others should you pass away. This kind of coverage can be put to use for almost any purpose and, often times, the money is even tax-free.

What is it?

Life insurance coverage is obtained for an individual or for a group, like a whole family. If one or more policyholders die, a specified amount of funds is then released and provided to the named beneficiary or beneficiaries.

Who Benefits

Anyone can purchase this kind of insurance for themselves and for their family members. A business can also obtain policy coverage to protect itself if an important key leader, or “keyman”, should pass away. This is protection to ensure that the business would go on regardless of such a loss and any inherent consequences due to said loss.

How it operates

Insurance that is bought on the life of an individual is purchased for a specified amount. For example, two spouses may purchase a $50,000 policy on each other and then the requisite monthly payments are made. Should one or the other spouse die, the payout of $50,000 goes to the surviving spouse.

Different kinds of coverage available.

There is a myriad of types of coverage available. Some will have accumulation of funding via their interest rates, while other might have separate but connected accounts to build value on the policy. The following are the most common kinds of coverage:
Whole life is a popular type of comprehensive life insurance coverage. Policyholders pay their premiums, which are determined from a litany of health questions and the amount of coverage desired. Assuming the policyholder pays his or her premiums on time, the policy remains intact and coverage is in effect. Another popular option is term insurance. Term, conversely, provides similar coverage but for only a set period of time. For example, should you have a 15-year term insurance policy, you will be covered for 15 years. However, after that period ends, you must purchase new coverage. Universal life offers similar coverage as whole life. However, there is also the option of investing some of the premium. This sometimes can notably increase the benefit amount should the investment strategy turn out well.

Big benefits

Life insurance is often an excellent method for providing for family if a breadwinner should pass away unexpectedly. This coverage can assist in covering the expense of medical bills, for a funeral, for living expenses while the children are still at home, to help pay off debt, and to even leave an inheritance.
In today’s financial environment, it’s important to know that there are some things you don’t have to worry about. Life insurance can be the foundation of financial security for you and your family. It can be the base upon which other insurance and investment decisions are built. Contact Sellman Insurance Group today!Choosing Life Insurance
Different life situations call for different types of life insurance. Think about these things when you choose term, universal, variable, or whole life.

1. Planning for Long-Term Care Costs – If you’re concerned about paying for long-term care, learn how life insurance solutions may help.

2. 4 Types of Life Insurance – Find the right insurance for your situation. Compare term, whole, universal, and variable universal life insurance.
Getting the right coverage.

3. How Much Life Insurance is Enough? There are a few things to consider before you put a number on your policy.

4. Working with a Professional – Find out how working with an investment professional can help.

5. Taking Care of Loved Ones – Life insurance death benefits help provide for the future financial needs of loved ones. If you are the beneficiary of a Nationwide policy, let us help you get started.
As your personal situations change (i.e., marriage, birth of a child or job promotion), so will your life insurance needs. Care should be taken to ensure this product is suitable for your long-term life insurance needs. You should weigh any associated costs before making a purchase. Life insurance has fees and charges associated with it that include costs of insurance that vary with such characteristics of the insured as gender, health and age, and has additional charges for riders that customize a policy to fit your individual needs.