Here are Three Advantages of Buying Whole Life Insurance

Author: Joe Stewart

Although there is a big push towards buying Term Life recebtly, Whole Life insurance does still have a few advantages that you should consider before you jump on the "Term bandwagon". What are some of the advantages of whole life insurance, you ask? Let's take a quick look at a few of these.

#1. Whole Life insurance is "permanent" insurance coverage that is designed to provide protectionfor you for as long as you live, up until the age of 100. This is unlike most Term Life policies which are only designed to provide coverage for a specific period of time, such as a "10 Year Term" or "20 Year Term" policy.

#2. It provides a cash value that you can borrow against later in life. Many states require that the cash value exists within a short period of time, such as three years from the time you purchase the policy.

#3. There are many critics of Whole Life insurance because you are paying more than you would for Term Life and part of the premiums are being placed into a savings account. However, if you look at the two good reasons above you may change your opinion. Think about this for a moment. Do you already have a savings account? If so, are you putting money into it on a regular basis? Do you consider your savings account to be an asset that you can use anytime in the near future if needed?

These are all things that you should consider before turning your back on a Whole Life insurance policy. Many Americans find it almost impossible to save and when they do, they usually end up dipping into it before it can accumulate into anything substantial. This is one of the big advantages of Whole Life insurance. You pay into it just like any other bill and later in life you'll actually have something to show for it.

Summary - These are just a few of the advantages of Whole Life insurance. For many people they're not adavantages at all because they have no trouble saving money and would rather buy Term Life instead and invest their money elsewhere. However, for those peopleple that want something more permanent and would like something that they know they can rely on in their future, the advantages of Whole Life insurance cannot be ignored.

Source: http://www.articlesbase.com

About the Author:

Joe Stewart Has Worked As A Life And Health Insurance Agent In Washington State. Learning About Life Insurance Is Now Easier Than Ever! Visit His Website Right Now At TheLifeInsuranceGuys.com or by clicking on Whole Life Insurance

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Changing Insurance Companies

Don’t hesitate moving to another insurance company for a better rate, there is NO risk in switching companies to save money. That’s why insurance companies lower their rates, to attract new business, so don’t be afraid to take advantage of it.

What if I have an accident? Insurance companies have to file their conditions for non-renewal or cancellation with the government. For example, if their policy is "3 tickets and 1 at-fault accident", it doesn’t matter if you’ve been with your insurance company for 20 years or 20 minutes. If you fit into this category, you’re out.

Tip: When shopping for a new insurance company ask if they have "Claims Protection." This protects you against your first accident. You should also ask about the company's cancellation policy in regards to multiple tickets or accidents.

Quoted one price, billed another: The only way that your rate should change after you've been quoted is if you failed to report a previous accident or ticket. So make sure you get your quote emailed, mailed or faxed to you before you proceed.

On renewal, will my rate skyrocket? Unlikely. Most rate increases occur because your insurance rep no longer deals with the insurance company they placed you with the previous year. They now have to place you with another insurance company that has higher rates. This being the case, all you need to do is call the original insurance company for the name of another brokerage that they deal with and get them to renew your insurance policy. But always confirm you’re with the best rated insurance company by doing a quote online.

I have renewal discounts: Renewal discounts are meaningless if another insurance company has a better rate for you. For example, if you have a home and auto discount, it's the bottom line that counts. The new insurance company, with a better rate, will have home and auto discounts too, which means a better rate for you.

But I’m a "Nine-Star Driver!" So what. You might be a nine-star driver paying a high rate with one company, or a six-star driver paying a low rate with another company. The bottom line is what really matters.

Is there a penalty if I cancel my current insurance early? If you cancel your insurance policy midterm, the insurance company will usually charge you with a penalty fee. But keep in mind that often times, the savings you’ll receive with your new insurance company will more than offset any cancellation penalties. If you cancel your policy during its renewal period, there is no penalty as long as you have notified the company “in writing” in time to cancel your policy.

I've been with my insurance company for long time: "Loyalty" discounts are easily overcome with a better rate from a new insurance company. And if the reason you are not changing is because your parents have dealt with this company forever, then it's time to cut the cord.

The insurance company with the best rates for your parents does not necessarily have the best rate for you.

My insurance rep says I have the best rate: You may have the best rate available to your rep, as their brokerage can't quote you from companies they don't represent. There are a number of insurance companies that offer lower rates and may be better suited for you. Find out for sure by going online to sites like InsuranceHotline.com.

Article Source: http://www.articlesnatch.com

About the Author:
Lee Romanov is the founder and president of The InsuranceHotline.com, since 1994. InsuranceHotline.com provides a rate comparison service for auto, home, life and commercial insurance via the internet, now processing over 3,000 quotes a day, internationally. Get Instant Auto & Car Insurance Quotes here.

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Whole Life Insurance Explained - The Pros & Cons Of Whole Life Insurance

By: Guitarjoe

Whole life insurance is a type of policy that provides you with insurance protection for the rest of your life, from the time you actually purchase the policy, until the day you either pass away, you stop making the premium payments or you reach the age of one hundred years. At that point, the insurance company will pay the owner of the policy 100% of the face value, which will also be the cash value. Therefore this type of policy insures you for your "whole life".

One of the interesting things about Whole life insurance is that it also builds what is called "cash value" over time. This cash value should not be confused with the "face value" of the policy. Let me explain the difference between the two.

Face Value = the amount of money that the insurance policy is supposed to provide in the event of the insured person. In other words, if the policy is for $50,000, then the face value is $50,000. If the person was insured for $100,000, then the face value of the policy would be $100,000. Whatever the amount is that the policy is supposed to pay is the face value.

Cash Value = the actual amount that the policy is worth. Cash value will grow over time within a Whole Life policy, however, it will never reach the Face Value amount of the policy unless the insured individual reaches 100 years of age. At this point the policy has fully "matured".

The way that this works is that a portion of the money paid into a Whole life policy goes toward buying insurance, while the remainder goes into an interest bearing account. This money can be borrowed against later in life, if you choose to do so and can be used for practically any purpose, however, just like any other loan it must be repaid.

Whole life insurance isn't as popular as it once was. These days many people are buying Term life instead because it's less expensive and also because that way they're buying only "pure" insurance and can make the decision to invest their money elsewhere. You can always start out buying Term and upgrade to a whole life insurance policy later in life, if you choose to. The decision is yours.

If you are need of an affordable Whole life insurance quote then you must do this before...

Stop! Learn More About Cheap Life Insurance Options And Even Get Free Term Life Insurance Quotes Right Now At TheLifeInsuranceGuys.com or by clicking on Whole Life Insurance Joe Stewart Is A Former Life & Health Agent That Now Works Independently.

Article Source: http://www.eArticlesOnline.com

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Reduce Your Taxes This Year

We’re all looking for ways to save money. And, one of the best places to look for savings is in your taxes. There are lots of ways to reduce your taxes; so make sure that you’re taking advantage of each and every one that’s available.

Reduce your taxes by making your home energy efficient. When it’s time to make home improvements, be certain that you’re making energy efficient ones. Not only will buying, let’s say, an energy efficient hot water heater save you money on your utility bill each month, but if you purchase a hot water heater that is Energy Star rated, you’ll reduce your taxes in the year you purchase it, as well. Energy Star is a government program for rating the energy efficiency rating on products. So, be certain when you purchase large appliances, or other things like replacement windows, that they come with the energy star rating. Save your receipts and use them when you file your taxes to figure the deduction. The deduction is typically 10 of the cost of installing solar water-heating, photovoltaic, or fuel-cell equipment in your home, up to $2,000 total. No credit is allowed for equipment used to heat a swimming pool or hot tub. Again, this is a great way to reduce your energy expenses month after month and reduce your taxes.

Buy a hybrid car – You can reduce your taxes by purchasing an energy efficient car, like a hybrid. There are tax credits available for a variety of fuel efficient automobiles. Check out the credits before you buy – in some cases you can qualify for over $3000 in tax credit. In addition, you’ll save money on fuel each and every month that you own the car, and you’re doing the environment a favor, too.

Take a look at your stock portfolio – If you have some stocks that have tanked since you purchased them, now’s the time to sell them. When you sell stocks at a loss, you can deduct the loss from your taxes. And, when your stocks are doing well, you’ll reduce your taxes when you sell them by holding on to them long term. Long term capital gains taxes on stocks are around 15. So, if you’re thinking of selling a good stock, be certain to check on how long you’ve held it.

Source: Free Articles

About the Author

For more tips on tax saving and reductions, visit www.TaxOnlineGuide.com

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