We constantly review new products and rates from the top rated insurance companies in America. No one company has the “best” product for every age, amount, or situation. Your personal needs are unique. We understand this. Therefore we always provide a selection of competitive plans from different life insurance companies. The selections shown are the lowest possible rates. Which one is best for you? That is a personal decision.
At no charge, we provide expert products and will consultant what’s available and are here to answer your questions. We have many years of experience in this field and are familiar with the companies and products from which you are selecting.
Does we sell all of the products that it quotes? The answer is No, but we have about 99% of them. Some insurance companies only sell their product through full time company career agents. We are an independent agency. We do not work for, nor are we a part of, any insurance company.
Obtaining Coverage – Once you decide which plan is right for you, give us a call at 817.737.7363. We will help you arrange completion of all required insurance company forms. If a medical exam is needed, the representative will arrange it at a time and place that is convenient for you. We will handle all the details to obtain your coverage as quickly possible. Once you have been approved, your policy will be delivered to you for inspection. State consumer laws require a “free-look” period. This means if, for any reason, during the free-look period, you change your mind, you may return your policy and receive a full refund from the insurance company. Our goal is to make insurance buying simple and trouble free.
Life Insurance Plans – Term, Universal, Whole, Survivor Estate Life:
-Term Life – Is only a death benefit. If you pay the premium, you are guaranteed that in the event of death the insurance company will pay the policy death benefit. When considering Term Insurance, you should first determine the length of time you need the coverage and then look at the total cost over those years. Buyers should note that most Term Plans are based on insurer’s current rates and these rates may not be guaranteed.
Premiums may be based on annual renewable, 5, 10, 15, 20, 25, or 30 year level arrangements. For short term needs such as to cover a bank loan or business obligation, annual renewable, 5 or 10 year level premium plans is often the cheapest. For longer periods of time, it may be cost effective to buy 15, 20, 25, or 30 year level premium plans, even though your cost in the first few years may be higher.
When is Term the right choice?
If the lowest dollar outlay is your main concern, and your insurance need is for a few years. Term may have an advantage, if your need for coverage will last beyond 20 years, a low cost Universal Life policy may be more effective.
-Universal Life – Is a flexible permanent product that allows a policy holder to design his own plan. You can adjust your premiums from year to year, increase or decrease your death benefit, and still accumulate savings with tax advantages.
Universal life is a popular first time permanent policy for budget minded young families with changing needs. This plan is often used as a low cost, level premium alternative to term insurance when coverage is needed for many years. Since term insurance will eventually have increasing premiums and often requires requalification by passing a new medical exam, your term costs will ultimately become very expensive. On the other hand, universal life will give you the security of a guaranteed death benefit with a low-level premium.
-Whole Life – Provides a lifetime guaranteed death benefit, a guaranteed fixed premium, and guaranteed cash values. These policies have the excess earnings (if any) of the insurance company credited to your cash value either as dividends or as excess interest. Similar to Universal Life plans, your cash values can be used to pay future premiums, fund retirement and college education, and provide emergency cash reserves.
Whole life typically provides the best investment rate of return per dollar of premium. In summary, whole life is for the person who wants guaranteed permanent coverage with a guaranteed premium for the rest of their life.
-Survivor Estate Life – Is a special plan covering two lives, typically a husband and a wife, or business partners. These plans are designed to provide cash to cover estate taxes or business liability which have to be paid after both people have died. The survivor plan premium is often much less than if individual coverage was purchased on each life. These plans can be based on either whole life or universal life.
Vanish – Cash values, excess interest earnings, and dividends, can be used to pay premiums beyond a specified date for a whole life and universal life plans. This is a way to pay for a lifetime coverage over a limited number of years. All vanishing premium plans are projected based on insurance company current investment experience. If performance is less favorable than expected, additional premiums may be required.
Outlay – The actual cash payment you make to the insurance company each year.
Net Cost – Your total payments for a policy less any cash value in your policy, the profit or less if you canceled the policy at a given date.
Cost Comparison Indexes – There are two types of cost comparison index numbers. Both assume you will live and pay premiums for the next 10 or 20 years.
The surrender cost comparison index helps you compare costs over a 10 or 20 year period assuming you give (surrender) the policy and take its cash value at the end of the period. It is useful if your consider the level of cash values to be of special importance to you.
The net cost comparison index helps you compare costs over a 10 or 20 year pay period assuming you will continue to pay premiums on your policy and do not take its cash value. It is useful if your main concern is the benefits that are to be paid at your death. The two index numbers are the same for a policy without cash values.
Riders – These are added benefits that can be purchased on a policy. Term Insurance Rider can be added on to Whole Life or Universal Life plans as a low cost way to increase death benefits while still enjoying the benefits of a permanent product. Other popular riders allow for investing excess cash in a policy, or providing a waiver of premiums if you become totally disabled, or to pay additional benefits if you die of accidental causes or providing low cost benefits for a spouse and/or children.
Long Term Care Benefits – A special rider offered by some companies will pay long-term or catastrophic health care benefits as a supplemental benefit. These are called living benefit or care riders.
Accelerated Death Benefits – Also known as “Living Needs Benefits”, provides access to death benefit proceeds before death when the person is diagnosed with a terminal illness.
Loans – Universal and Whole Life Plans allow you to utilize your policy cash value on a tax deferred basis for current needs in the form of a loan. The insurance company will charge a low interest rate that is often less than current bank rates. You may elect to pay loan interest in cash or to have it deducted from future cash values. Outstanding loan amounts will reduce death benefits.
Re-Entry – On many term plans the company will grant a significant discount on future premiums if you agree to take a new medical exam. Of course, the discount is only available if you pass the exam.
A Rated Policy – This may be the result of having an adverse health history, or may be due to occupation, or hazardous activities. In the event an applicant is offered coverage at a higher rate due to unfavorable information, consumer laws in most states provide the consumer or his physician certain rights of access to this information.
Smoker Status – Insurers will give a lower premium rate to buyers who do not smoke or use tobacco. If you smoked in the past, most carriers will consider you a non-smoker if you have not smoked for one year prior to applying for coverage. Consumers should be aware that nicotine can be detected in a variety of routine screenings tests that are now commonly required by most insurance companies.
Insurance Company Ratings – There are five major insurance industry rating services: A.M. Best, Standard & Poor’s, Moody’s, Duff & Phelps, and Weiss. These services provide information on insurance company financial performances, stability, claims paying ability, and more. The top ratings are: A.M. Best = A++, Standard & Poor’s = AAA, Moody’s = AAA, Duff & Phelp = AAA, Weiss = A+. Generally, Brooks & Brooks, Associates recommends companies that carry at least an A+ rating from A.M. Best. Vocationally, an A rated company may be quoted if price and company performance justifies the selection.
contact us by email Greg@InsureFW.com
or phone at 817-737-7363.