Life insurance plays an important role in Estate Planning. With the right product in place, you can be comfortable knowing your family will be financially protected after your death. The Nathan Agencies will work with you to determine which of type of life insurance is right for you:
- Term Life Insurance – Low cost, no cash value. Term Life insurance is temporary protection designed to be kept for a specific period of time. The cost may start out quite low, but increases as you get older. Premiums may be level for a given time period, such as 5, 10, or 20 years. It is well suited to protect business loans as the time period is defined, or for those who have large debt, few assets and a tight budget.
- Universal Life Insurance – Low cost permanent insurance. Policy cash values earn a guaranteed minimum interest rate, and also earn a current interest rate. Policies are quite flexible in nature, allowing for changes that accompany your changing life. Premiums are level, and may adjusted to accommodate your needs.
- Whole Life Insurance – More costly form of permanent insurance. Whole life has strong guarantees, but may come with a hefty price tag. Policies earn guaranteed interest on cash values, plus either current interest or added dividends.
- Variable Life Insurance – Somewhat costly permanent insurance. Variable life insurance is similar to whole life or universal life plans. However, its cash value is invested in separate variable accounts that you pick. Returns are also variable, representing more risk than other permanent products.
In reference to general account obligations and guarantees, the ability for the insurance company to meet these obligations to policyholders are subject to sufficient capital, liquidity, cash flow and other resources of the insurance company.