Life
We offer 3 types of life insurance: Permanent (Universal Life), Traditional Term, and Return of Premium (ROP) Term from many leading companies. You can view instant quotes on on both term and return of premium (ROP) term life insurance from AIG American General Life.
Whether you currently own coverage or not, there are a number of things that you should know about in order to make an educated decision. If not identified and dealt with, any of these items could cost your dearly.
11 Common Mistakes You Must Know About Before Buying Life Insurance Coverage
- Not buying a policy before your health deteriorates.
- Not shopping different companies (we do this for you via our quote system).
- Not buying a policy with a GUARANTEED PREMIUM.
- Not buying from a Company with at least an A Rating with with AM Best. (Rating determines Financial Strength).
- Not buying a term policy with a Guaranteed conversion into permanent coverage.
- Buying a ten year policy when in actuality you should have a 20 year term.
- Failing to calculate your needs. This will help make an educational decision on just how much coverage you need.
- Accepting Life Insurance Coverage at work as your primary coverage for your family.
- Buying an Accidental Death Benefit Policy (ADB) and believing that you are covered. These policies do not cover a death due to natural causes such as heart disease, cancer, etc.
- Buying life insurance as an investment (i.e. Whole Life)
- Not clearly defining what exactly you are protecting (i.e. Dependents in the event of your death)
Permanent insurance provides life long protection. As long as you pay the premiums, the death benefit will be paid. These policies are designed and priced for you to keep over a long period of time. Universal life is an example of permanent life insurance.
Universal life allows you, after your initial payment, to pay premiums at any time, in virtually any amount, subject to certain minimums and maximums. You also can reduce or increase the death benefit more easily than under a traditional whole life policy. (To increase your death benefit, the insurance company usually requires you to furnish satisfactory evidence of your continued good health.)
Traditional Term life View instant quotes from AIG/American General Life Insurance
Is usually the least expensive type of insurance. It is an affordable option. You are only paying for the cost of insurance associated with the death benefit and not building cash value.
This type of policy covers you for a specified term (from 5 to 30 years, in most cases). If you die within the term, your beneficiary receives the stated death benefit of the policy. For example, say you purchased a $250,000 term life policy for a 20-year period. Whether you die in year two or year nineteen, your beneficiary receives the same amount (i.e., $250,000).
If you die within the term period, a death benefit is paid to your beneficiary. If you are still living at the end of the term, protection ceases unless the policy is renewed. There is no "accumulation" element, or cash value with term insurance. Some term insurance policies do offer a return of premium.
What is ROP Term? ROP stands for Return-Of-Premium. View instant quotes from AIG/American General Life
ROP Term is a newly introduced term life insurance product that provides a death benefit protection and a return of premium feature. This product is revolutionary do to the fact that it bridges the gap between low-cost term insurance and permanent insurance.
Return-Of-Premium (ROP Term) is aimed right at one of the greatest consumer objections to regular term life insurance: "I am probably not going to die, and my money will have been wasted." With ROP Term you do not have to waste your money. Unlike regular term, ROP Term rewards you for living by offering a guaranteed return of your total cumulative premium paid on the policy during the level term period, not including substandard and rider charges, if any, will be paid to the policy owner at the end of the level term period if the policy is then in force.
