Blog Archives

Posted on August 24, 2013 by Johnbradbury

PERMANENT LIFE INSURANCE

What Is Permanent Insurance:

Permanent Insurance provides lifelong protection as long as you continue to pay premiums. The premiums are based on your age at the time of purchase and generally remain level, not increasing as you age. Because premiums remain level, permanent insurance is often more expensive than term insurance, but permanent insurance accumulates cash value, which may be refundable upon surrender of the policy. While the policy is in force, cash values can be borrowed against or used to pay premiums.

There are four basic types of permanent Insurance:

1.Whole Life: (sometimes also called life or ordinary life) has a fixed guaranteed instant rate and develops guaranteed cash values.

2.Universal Life: has more flexibility. Within certain limits, you can change the death benefit, the amount of premium and payment frequency. Unlike Whole Life, this is an “interest driven” policy, which normally pays a minimum guaranteed interest of 4% to 4.5%. If the interest rates are continuously low, additional premiums may have to be paid to avoid a lapse of coverage.

3.Variable Life: has death benefits and cash values that vary with the performance of an underlying portfolio of investments that you select. The death benefit and cash value are not guaranteed. They can go down as well as up, although there may be a guaranteed minimum death benefit.

4.Variable Universal: combines the premium and death benefit flexibility of universal life with the investment flexibility and risk of variable life.

Posted in Permanent Life Insurance

Posted on August 24, 2013 by Johnbradbury

TERM LIFE INSURANCE

What Is Term Insurance:

Term Insurance provides protection for a specified period of time, typically from one to 30 years, and pays a death benefit only if you die during this term. Some policies can be automatically renewed at the end of the coverage period, and some can be converted to permanent insurance without need for a medical exam.

Advantages of term policies include:

More insurance for less money. Premiums with this type of life insurance are lower than those for permanent insurance, and you can afford to buy more coverage when you need it the most.

Specified periods of coverage make term insurance ideal for covering specific short-term financial needs such as a college education or a mortgage loan.

Disadvantages of term policies include:

Premiums increase at each policy renewal date, becoming very expensive later in life.

There is no savings feature (cash value), only a death benefit if you die while the policy is in force.

You could outlive your coverage.  Term insurance is generally not renewable after age 70 or 75. State laws vary on this issue, so you should check with your state department of insurance.

Posted in Term Life Insurance

Posted on August 24, 2013 by Johnbradbury

LIFE INSURANCE BASICS & NEEDS

You need life insurance if anyone depends on your lost income. It can solve many problems involved in both your personal and business situations.

Personal Needs:

Life insurance will enable a surviving spouse to raise your children, or provide the funds to care for an aging parent or other dependent.  It can also ensure that you final expenses, debts or taxes are properly managed.  When considering purchasing life insurance,  it is suggested you buy protection equivalent to five to eight times your annual income, though your needs may vary according to your financial assets and liabilities. Life insurance can solve your heirs’ immediate and long-term needs.

Immediate needs would include:

  • Funeral expenses,
  • Unpaid medical bills,
  • Debt and taxes,
  • As well as the time to readjust to a new life-style.

Long-term it will help provide:

  • Maintenance and care of a disabled child or elderly parent
  • College expenses
  • Providing the means to your heirs to live the life to which they are accustomed.

Business Needs:

Life insurance is often the solution to:

  • Replace a key person and provide the funds to cover the costs of locating and training a replacement.
  • To fund Buy/Sell agreements.

To provide collateral for business loans

Posted in Basic Life Insurance

Posted on August 23, 2013 by Johnbradbury

MEDICAL INSURANCE

Our agency is very active in the individual insurance marketplace. We are trained and authorized to offer medical plans thru private insurance companies and as “Certified Agents” thru the California Public Insurance Marketplace.
We can help you evaluate your needs, survey the marketplace, prepare side by side plan and price comparisons and then help you implement the plan that best meets your needs. We will also be there to service you and your policy once enrolled.

Posted in Medical Insurance