Life insurance falls into two levels, term or whole life. Term life
provides coverage for a specific period of time, such as one year, 10
years, or up to 30 years. If you are under the age of 80, you are eligible
for term life. If you die during the term, your elected beneficiaries
will get a payout. If you die after the term expires, there is no payout
available. Term is often the least expensive way to purchase a substantial
amount of coverage for beneficiaries. The greatest difference between
term and whole life is that whole life covers an individual for an entire
lifetime. Whole life typically has fixed periodic premiums based on the
assumption that the person will retain the policy throughout his/her
entire life, with a death benefit that remains level.
Bundling
We often purchase auto, home, and life insurance
at different points in our lives, finding insurance
providers piece by piece until we are fully covered.
Many of us often do not reevaluate our policies
and rates, when doing so could ultimately save us money. Bundling
allows for all insurances to be purchased through the same company,
providing discounts on premiums and the added convenience of
paying one single bill to one provider. To ensure you are getting the
best rates on bundled insurance, be sure to shop around and compare
packages. Some insurers may offer discounts, but with lower coverage.
Be sure you are receiving all of the coverage you think is necessary to
cover your auto, home, and life policies.
Umbrella Policy
Still feeling unprotected in some way? An umbrella
insurance policy could be exactly what you are
looking for to feel comfortably covered. Umbrella
insurance provides extra liability coverage to protect
against major claims and lawsuits. This additional coverage kicks in
once your other policy coverage is exhausted. In addition, coverage
for claims such as false arrest, libel, and slander or for rental units
is included in this type of policy. Umbrella insurance goes above
and beyond in providing coverage for injuries, damage to property,
and certain lawsuits. Policies are typically available in million-dollar
increments, giving you an idea of whether you’d fit into the category
of individuals who would benefit from having this type of coverage.
Individuals often decline umbrella policies because they don’t feel that
they need that level of insurance, but keep in mind how costs can add
up with any accident, including lawyer fees, medical bills, and damages,
among other costs