Life Insurance
Unfortunately, life can be too short for some and death is very hard for those left behind.
Not being prepared for an unexpected death with the right North Carolina Life Insurance protection can make it far worse.
Call 866-869-3335 To Get the Right Whole Life Insurance For You at the Lowest Cost!
Just as the name implies, whole life insurance is designed to provide life insurance protection for the life of the insured (provided premiums are paid) versus term life insurance that provides life insurance for specific term or period. The greatest benefit of whole life insurance is that it is guaranteed to pay a death benefit.
Another beneficial feature in whole life insurance is that the policy can be used as an investment vehicle since it can also build cash value. Part of your life insurance premium goes to a tax-deferred cash value account. You can borrow against this at a low interest rate and if you decide to cancel the policy, you get the cash value.
Pros of Whole Life Insurance
- Guaranteed Level Premium
- Guaranteed Death Benefit
- Tax-deferred Cash Value Accumulation
However, these great features come at a price. Whole life insurance is much more expensive than term life insurance, especially as you age. The older you are, the higher cost of the life insurance and the shorter time for the policy to mature greatly increases the premiums for whole life insurance.
Cons of Whole Life Insurance
- More expensive
- Lower interest rates than other investment options
If your goal is get life insurance, then we recommend term life insurance and invest the extra money you would spend on whole life insurance in other investment options. Since the cash value built within a whole life insurance policy is guaranteed, the interest rate earned is typically much lower than other investment options. The downside to buying term life insurance is of course, it is only going to provide coverage for a specific term.
Whole life insurance is a great option for parents who wish to provide their children with a low cost and lower coverage amount for the lifetime of their children. Many parents will but a $25,000 or $50,000 whole life insurance policy when they are young. Since the premiums for children are much lower than adults, for little money, their kids will have this asset as they grow to maturity and beyond.
Deciding on whether you need whole life insurance or any other kind of protection can be challenging. You may have other factors that should be considered before you make this important decision. By discussing your specific needs with a North Carolina licensed life insurance agent, you can learn about all of your options so you can decide on the right life insurance protection for you.
Call our office today and let’s talk about your life insurance needs. We can discuss your options and shop the marketplace to find you the lowest rates on the right life insurance protection for you.
*This is a basic explanation of whole life insurance. For complete details and description, call our office and we’ll be glad to answer any of your questions.