It might not be everybody’s favorite topic, but no family should be without a comprehensive financial plan that includes life insurance.
Kevin Panter Insurance offers term and whole life policies for individuals through a variety of highly rated and secure life insurance companies. Since we’re an independent agency, we can offer you coverage from a multitude of life companies – matching your situation with the company that works the best for you.
For your business, we can structure a life insurance program that will work as a perpetuation plan, a way to fund a cross-sell agreement, or a key person life insurance policy.
Our life insurance companies also offer annuities, which can be a terrific (possibly tax advantaged) way to accumulate funds for retirement and other purposes. Contact one of our professionals to see if an annuity would be a good fit for your situation.
Life Insurance Explained
Many people pause to consider what life may be like for loved ones after they pass away. While the possibility of death may seem far away, the reality is that a tragic event can happen at any time. Preparing your finances now so that your family can live comfortably after your passing is essential. One of the more convenient and common ways to accomplish this goal is to purchase life insurance. With a better understanding of what this coverage is and how it works, you can set up a policy that meets your needs.
Life coverage pays benefits to a named beneficiary selected by you when you pass away. Not all causes of death are usually covered. It is important to understand the instances when your beneficiary would not receive benefits. In addition to naming the beneficiary, you also will set the benefits or coverage amount. The higher this amount is, the more expensive your premium will be. Other factors also affect the cost of coverage, and some of these are your age, your health at the time of application, lifestyle risk factors and the term length of the coverage. Be aware that term lengths are available up to 30 years, and these are called term life policies. Other types of coverage provide you with lifelong coverage, and these are called whole or universal life policies. The latter option usually has a cash accrual feature that allows your policy to accumulate a sizable amount of money in an interest-bearing account.
With life insurance, your loved ones file a claim as soon as you pass away. Depending on the provider, your beneficiaries may receive a lump sum of funds within a week or less of your passing. This money is commonly used to pay for funeral or burial expenses. Additional funds from your coverage could be used in a variety of ways to help your loved ones get by financially. One strategy is to use the money to pay off debts. By paying off large debts, such as the home mortgage, the family may live more comfortably on less money going forward. Another strategy is to invest the money so that it produces passive income. This passive income could supplement the funds that you used to contribute to the family. Before purchasing coverage, it is wise to analyze your family’s financial need and to determine the most strategic way for them to use the proceeds.