Do you want to learn more about Term Life Insurance options in Arizona, but you don’t know where to start? Why not ask an experienced broker? Southwest Health Insurance Experts has an in-depth knowledge of term life insurance policies and can help you choose the best plan to meet your needs.
Did you know that even though most Americans have some form of life insurance, very few could tell you how their policy works? There is a lot of confusion today about the differences between term life insurance and other types of life insurance policies. The most important thing people remember is the value of the policy. Whether it’s $100,000 or $1 million, the average persons’ understanding of their policy stops there.
Before you purchase term life insurance in Arizona, it is essential to know what you are buying, and how it differs from whole life insurance, variable life and universal life.
First of all, term life insurance is the simplest and least expensive type of plan. It pays a specific lump sum amount to your designated beneficiary upon your death, but has no cash value. For example, a $300,000 policy will pay a death benefit of $300,000. This money can be invested and used to replace your salary or to pay for other expenses that have been incurred by your death, but the plan cannot be “cashed in” or borrowed against because it has no other value outside of the death benefit. Term life insurance can be purchased for a specific length of time, such as ten or twenty years, or it can be continued beyond the age of 70.
People who purchase other types of insurance, such as whole life, universal life or variable life, usually pay a higher premium because these policies have both a death benefit and a “cash value” savings account.
Southwest Health Insurance Experts can help you identify the term life insurance coverage available in Arizona that is right for you. We can answer your questions about buying life insurance, including the amount you should buy and which stages of life you need it the most. Please call us and we will help find the right term life insurance plan for your specific needs.