October 9, 2013

Life Insurance for Seniors

Putting off a life insurance policy, it doesn’t t matter what age you are, is valuable if you have a family and people that relate to you for financial uphold. A lot of people put off taking an assessment about a life insurance policy for different reasons. Nonetheless at each stand your life it is really worth assessing whether you ought to be buying or specifying a life insurance policy.

Life Insurance for Seniors

Life Insurance for Seniors

For older people, there are a variety of reasons life insurance makes sense:

Funeral obligation – Occasionally the family needs money to purchase funeral expenses in addition to other costs linked to death.

Estate property taxes – Big estates have big taxes opening at 37% for estate assets over $675,000. The latest bout of inflation could possibly have pushed many individuals into the estate-tax bracket without ever having even realizing it. Life insurance when it is in fact in an irrevocable life insurance confidence is outside of the estate and that can be used as show money to offer for any estate tax liability.

Lifestyle Support- The cash beginning with the policy could be invested to form an income stream which will help make ready for the loss of the departed spouse’s salary.

Retirement Money – In case you have the permanent (whole life) life insurance the advantage grows tax overdue. By the time you retire, you could have a nice cash value that you can develop to be an annuity or simply pointed out in a money market fund. If you believe you don’t need to have whole life term, you could possibly cash in other modest assets as well as buy fixed income life insurance overlaying your insurance needs and gives strength to your financial base.

January 14, 2013

Zander Insurance

If you have ever listened to Dave Ramsey then you have probably heard of the Zander Insurance Group. Dave Ramsey recommends that you should buy term while you are young, and accumulate assets over time. By doing this you will have protection while you are young and don’t necessarily have al ot of money in the bank. By the time your policy expires in 20 or 30 years, you will have enough assets to self insurance. Zander life is a sponsor of Dave Ramsey’s and he recommends them as the term insurance agency to apply with.

Before choosing any life insurance agency I recommend you read reviews. You can read about Zander Life Insurance Reviews on various websites and decide if this is the independent life insurance agency that you should apply with. More reviews of Zander can be found here

Independent Agency vs Captive Agency

The advantage of choosing an independent agency over a captive agency is that when you work with an independent agency you will have a choice of multiple companies to choose from – as independent agents usually represent several companies. As the name implies, a captive agent represents just one company. This is a big disadvantage because they can only offer you one choice, and that may not be the best option for you and your family. I recommend finding an independent life insurance agency that can help you compare options for coverage among several carriers.

When you shop for life insurance online you can compare quotes and get pricing on the internet without speaking to an agent. First consider the amount of coverage that you would like to have, as well as how long you need coverage for. Then compare quotes using online quote forms. You should get a list of companies, pricing as well as their ratings from A.M Best. I recommend that you choose a company that has been in business for over 30 years and that has at least an A rating. You can do this on sites like Zander, or term4sale which allows you to compare quotes as well.

February 27, 2012

Life insurance over 50

As you get older you need to look into your best options when it comes to protecting yourself. There are many options that can consider and two of the best options are whole life insurance and term life insurance policies. Now before I get into why term is the probably the best option for senior and other who are over 50,let me explain the difference between the two. You have to understand the difference between whole life and term life insurance before you decide to side with the term insurance. I mean there are benefits to both but when it comes to getting life insurance over 50, there is the more exceptional choice.

So what is the difference between the two? Well with whole life deal you get the life insurance as well as an investment contribution. And the investment can be in the form of bonds, money market cash value, or stocks. The three types of whole are as follows
1) Variable
2) Universal

Now the first thing you need to know is that with whole life you are paying the more expensive route. And that is mainly due to the fact that you are also getting an investment portfolio along with the insurance. Now when speaking about life insurance over 50 and above this may sound like a good idea, but it may not sound that good when you really look at what you are getting. Just like the term insurance you can buy into the plan for anywhere form one year to 30 years. And again this may sound like a good deal, but the investments are really not that great in the end. With the fixed or adjustable rates there are usually high and hidden commission fees attached to them. With the commission fees they are usually about 3 points from the yearly return. And with the upfront and hidden costs they take about 100% of your first year’s premium. Which is why, on paper it may sound like a good idea, but it really is not.

And that is why maybe making the choice of term insurance might just be the better investment. First, as stated above, term insurance is just insurance and nothing more. Plus you can buy into for those same one to thirty years.

The primary reasons that people buy into term insurance are the following.
1) estate planning
2) business planning
3)family protection

Most of the people that generally purchase this type of protection are those who are still working and in the event of a demise in the family, they want to have that protection.

If a man or woman is buying into the business protection there is normally three types of protection that he or she will look at.
1) Key Man Insurance–good for those who are working with a key person that their business could not survive without. So in the event of any sort of demise or loss, that key associate can take over the reigns
2)Buy-Sell Agreement–Something for nay key person to look at within a business. If at least one of the business partners suffers a demise or any kind of loss, than they can buy out the deceased partner’s contract.
3)Non-Qualified Deferred Compensation–Owners will set up cash value policies for themselves and their co-workers. And it is ERISA regulated. And this way the owner can determine who gets the benefits and who doesn’t.

Another great thing about having term insurance is that you can get into estate planning. Which basically means that you are lining up your assets in case of possible liquidation and possible future taxes. Putting aside all of the estate planning and taxes term insurance is very cheap when compared to other plans. And it’s best to get into them early on because as you get older these plans become more expensive. So by buying into term insurance at a younger age you will have that locked rate no matter how old you get. By going for the term insurance you will be guaranteed a safer way of building up your policy and you won’t be duped by hidden commission or gross and exaggerated fees.