Most of us tend to protect the material things we’ve acquired in life, but how many remember to protect ourselves and those we love. Have you thought of how the people you love will survive when you are no longer around to provide for them? Life insurance gives you the chance to make sure that their financial future is secured. There are several misconceptions about life insurance, though. Talk to a knowledgeable agent at Todd Davis Insurance Group to help you understand how life insurance works.
Life insurance is not mandatory in Kansas, but the state still regulates insurance policies under the State Insurance Code of Kansas. Life insurance can be used for several purposes, including funeral expenses, medical expenses, debt settlement, and any other financial expenses the beneficiary may see fit. There are two major coverage options you can choose from when taking life insurance.
Term life insurance: It gives protection for a specific duration of time at fixed payment rates, after which the policyholder can either forgo coverage or obtain further coverage under different conditions. It’s a good choice for your temporary needs, plus it’s generally cheaper than permanent life insurance.
Permanent life insurance: This is a great choice if you seek long-term financial goals such as inheritance, college fees, and end-of-life expenses. It provides lifetime protection while building your cash value over time. It can be categorized into universal life insurance that allows flexibility with your premium payments based on your current budget, and whole life insurance that has fixed premiums. Permanent life insurance has the cash value component that you can access.
The right type of coverage will depend on your financial goals and personal circumstances. Consider Todd Davis Insurance Group in Kansas to help you determine what suits you most. Contact us today for further information.