In an industry with an array of life insurance options, customers are at loggerhead when deciding on the best alternative to settle for. This a crucial decision since it calls for monetary commitment for a term or life until death. They all come with varied benefits and compensation, but there is need to find a suitable package based on your needs.
There are two possible reasons why one would consider a term life insurance coverage over a permanent life insurance one. If you are in need of a cover for a specific time frame and after that do away with the insurance, term cover is perfect. For instance, take a classical goal of investment purpose or education; you can take a policy with a maturity or execution duration based on your needs; say ten years or 20 years. Alternatively, you would consider a term life insurance if constrained of money yet your needs call for a larger cover.
A permanent life insurance basically means that it is executed throughout life and expires upon death but can pay to benefit a day after the policy is taken for years to come. It operates in a saving mode where premium accumulates and are exempted from tax and can be used as collateral for the loan. However, upon death, computations are done to establish what the company owes the customer from the policy before repaying the beneficiaries.
Premium rate similarly differs with a permanent policy having a higher figure than a term insurance. Term insurance rates fluctuate with age and economic times, but in a permanent insurance, the premiums are at a flat rate. A person who goes for a term insurance may consider the option of convertible term policies should they see the need to convert to a permanent insurance. There have been many companies offering same services with Freedom Life Insurance being at the helm. Learn more: https://www.ehealthinsurance.com/ehealthinsurance/benefits/ifp/IHC-MultiState/IHC-MultiState-FreedomChoice-BR-0811.pdf
About Freedom Life Insurance
FLI was founded in 1956 in Fort Worth, Texas. It was initially known as Consolidated American Life Insurance Company before change name to Freedom Life Insurance. It offers a variety of insurance packages in accidents, credit, and health-related covers. It is a subsidiary company of the USHEALTH Group Inc.