What are the 3 Main Types of Life Insurance?

There are three main types of life insurance policies in today’s market. Individual, group, and credit insurance.

What is the most common type of life insurance?

Individual life insurance is the most used. According to the National Association of Insurance Commissioners (NAIC) it accounted for 62% of all life insurance policies in the United States as recently as 2018.

What kinds of individual life Insurance are there?

There are two main kinds of individual life Insurance. Term life insurance which pays only if death occurs during the specified term. The term could be from 1 to 30 years. And whole life which is also called permanent insurance. It pays a death benefit whenever you die so it isn’t tied to a specific term.

What is the best life insurance policy?

According to Ryan Skinner of Summit Financial Partners, “best” means depends entirely on you and your circumstances. Countless life insurance plans are available, and each provides its own list of benefits. Each also comes with its own list of costs.

Life Insurance and Property & Casualty Insurance

Q: Is it Worth Paying for Life Insurance?

Yes, life insurance is worth paying for. In the event of death, it often provides tax-free lump sum payment. This could offer surviving family members more financial security. A life insurance policy could also pay for final expenses and debts as well as provide income to deceased dependents.nn

Q: What are possible advantages to buying life insurance?

Six possible advantages of life insurance might include:nn1.tAn instant estate for your loved ones at a time when funds are most neededn2.tDeath benefits that are almost always non-taxable for named beneficiariesn3.tIf you name a beneficiary other than your estate, you could avoid probate costs n4.tSome life insurance plans could offer your loved ones creditor protection n5.tBuild tax-advantaged capital for retirement purposes n6.tProvide liquid savings through some permanent life insurance plansn

Life insurance can play a vital role in your financial security plan.

Is it Worth Paying for Life Insurance?

Summit Financial Partners offer a variety of insurance services inclusive of life, and property and casualty. These services provide the convenience of having all elements of your financial picture under one roof.

Countless life insurance plans are available, and each provides its own list of benefits. Each also comes with its own list of costs. Life insurance can play a vital role in your financial security plan. Which is why Summit Financial Partners recommends coverage that meets your unique needs.

Types of Life Insurance SFP Specializes In:

Business Owner Life Insurance

Individual Life Insurance

Group Life Insurance

Credit Life Insurance

Of course, life insurance often provides a tax-free lump sum payment to the surviving family member(s) in the event of a death; offering financial security. But it also assists in paying for final expenses or debts, lessening the uncertainty and stress that comes along with making final arrangements. However, there are six additional benefits to life insurance you may want to consider:

An instant estate for your loved ones at a time when funds are most needed

Death benefits that are almost always non-taxable for named beneficiaries

If you name a beneficiary other than your estate, you could avoid probate costs

Some life insurance plans could offer your loved ones protection from creditors

Build tax-advantaged capital for retirement purposes

Provide liquid savings through some permanent life insurance plans

Mother and daughters sitting in front of yellow door

Property & Casualty Insurance:

Summit Financial Partners strives to offer our clients comprehensive assistance in all areas of their financial life, inclusive of property & casualty insurance. As such, we partner with a full-service property & casualty broker that works with dozens of carriers nationwide. They will shop your market for the best value and then customize a plan to fit your needs. Their #1 goal is to make sure that you are properly protected to secure your financial future in the event of a devasting or litigious loss.

Got questions? Contact us today.

LET US HELP YOU REACH YOUR GOALS.

Our approach to working with clients is one that is both relaxed and confident. The sound and well-researched solutions we provide to you is intended to establish a solid financial plan for your future.

– RYAN, SFP PRESIDENT