First Time Life Insurance Buyer’s Guide
Reader’s Question:
I want to buy life insurance but I don’t know what kind of policy I should look at. I don’t even have an idea where to go here in Houston, Texas for one. Any tips for a life insurance newbie like me?
Macy
Houston, TX
Many first-time life insurance buyers find themselves at a loss as to how to find the best coverage. It is also very easy to get overwhelmed by the different types of policies available. So here is a guide to get you on level ground when it comes to buying the best life insurance Houston, Texas policy fitting your needs:
Types of Life Insurance Plans
Term Life Insurance – Affordable life coverage offering relatively significant death benefits with guaranteed premiums. Coverage term lasts a specific period of time only (e.g. 10, 20, 30-year terms).
Whole Life Insurance – This is a permanent kind of life insurance. Premiums are more expensive due to its cash-value feature which basically accumulates money into your policy over the years, making premiums much cheaper in the long-run. Policyholders can withdraw or borrow money from policy as well.
Universal Life Insurance – Similar to whole life policies but with more flexibility when it comes to premium payment. Also, it offers the potential for better cash-value growth thru the prevailing interest rates. Premium amounts can be changed according to what suits the policyholder most.
Variable Life Insurance – Combines the features of whole life insurance and mutual funds to build cash-value. Policyholder can choose how the cash-value is invested by the insurer to earn interest. This type of policy is more for the investment-savvy types.
Where to Buy Life Insurance
Once you find the right kind of policy suiting your needs, you would want to run a free life insurance quote check and compare life insurance Houston, Texas rates (or whatever state you reside in). This is the fastest and easiest way to compare the cheapest and latest rates coming from many different insurers today.