How Does the Life Insurance Work?
Life insurance companies offer life insurance as an insurance policy set-up to offer a payment in the event that the insured dies. It's a contract between an insurer (insurance company) and policy owner (insured person). If the policy owner dies from an accident or death, then the insurance company will pay a designated beneficiary the money that was agreed to in the insurance policy. The policy owner and insurance company will set-up a life insurance policy where the policy owner makes payments are regular times, usually monthly or yearly. These payments make up the premium or payment required to obtain and maintain the life insurance coverage.
Free Life Insurance Quotes Quickly
Our life insurance company is set-up to do quick life insurance quotes. It's easy. To obtain a free life insurance quote, you meet with one of our life insurance agents, or you can check out our life insurance online quotes. Generally, you answer a few questions regarding your health history, work history, and medical history. Usually, this only takes a few minutes. This allows our life insurance company's agents to show you several different types of life insurance policies and allow you to select the policy with the best benefits that fit your individual needs.
Different Types of Life Insurance
There are two general types of life insurance and then different subcategories under that. The two major categories are temporary and permanent. The sub categories are term, universal, whole life, and endowment life insurance. Term life insurance is the simplest form of life insurance. The policy only lasts for a specified term of years at a specified premium amount. Universal life insurance is a newer product that provides life insurance with more flexibility in the premium payment and possible growth for cash values. There are a few types of universal life insurance called interest sensitive, variable universal life, guaranteed death benefit, and equity indexed universal life insurance. The whole life insurance category provides different levels of premiums and a cash value table that comes with the policy. Whole life policies provide definite death benefits, guaranteed cash values, and fixed annual premiums. The endowment life insurance policies have a cash value built up inside that eventually will match the death benefit. The endowment age is when the cash value and the policy match. This is called the endowment age. Group life insurance policies are made to insure specific groups of people like employees of a company or members of a group. Accidental death policies are a limited life insurance that is made to cover a beneficiary in the event that they die in an accident.