Life Insurance

Life insurance is an excellent means of providing help from financial burden upon the death of an insured person.  When the death is that of a spouse, the death benefit will offer some helpful financial relief toward paying any funeral/burial costs, unpaid medical bills, a mortgage, repayment of any outstanding loans or other indebtedness, and to help with living expenses for the surviving spouse.

Further, if the deceased had dependent children, their living expenses and future education are also a consideration.  Even when there is no surviving spouse or children, single individuals may want to provide for their own final expenses, rather than relying on a family member or relative to do so.  Some types of life insurance accumulate a cash value over the term of the policy which could be an asset for the insured.  The proceeds (death benefits) of life insurance policies provide tax-free cash to the listed beneficiaries.

If you would like to purchase affordable life insurance, but you are uncertain about how to determine an adequate amount of coverage, AustinHealthPlans can help you.  Based on your needs, goals, etc, we can also provide assistance in deciding which type of life insurance is best suited to you. 

Call us at: (512) 535-3556 daily from 9am to 6pm (CST) or feel free to contact via e-mail: Tom@AustinHealthPlans.com

Types of Life Insurance

Whole Life insurance is the oldest and most familiar type of permanent life insurance. This type of life insurance accumulates a cash value over the term of the policy. If the insured outlives the term of the policy, he/she may surrender the policy and receive both the cash value and the death benefit. Due to the nature of Whole Life insurance, premiums are usually higher than Universal or Term Life insurance.

Universal Life insurance is also permanent, less expensive than Whole Life insurance, and can usually cover the life of the insured for a similar time period as Whole Life. This type of policy offers the advantage of guaranteed level premiums throughout the insured's lifetime at significantly lower premiums than an equivalent Whole Life policy.

Unlike Whole Life and Universal Life insurance, Term Life insurance is not considered to be permanent. Typically, Term Life policies insure one's life for a fixed "term", i.e., 10, 20, 30 years. Term Life insurance is very inexpensive and affordable for most people. However, it only pays a death benefit to the beneficiary but does not accumulate any cash value. Often, an expired Term Life policy can be renewed, but the new rates will be based on the current age of the insured.