Bedford Texas Insurance Agent
Sonia, “The Medicare Insurance Lady”, has been helping Medicare eligibles in Texas with their Medicare Insurance now since 2005. She has been married to John Ashford since 1982 and they reside in Bedford, Texas. They have six adult children and nine adorable grandchildren that they love to spoil. In Sonia’s limited spare time she enjoys quilting and crafting.
Life insurance pays out when the insured person dies. The idea is to protect loved ones from a sudden loss of financial support. You could also use it to support your local charity. There are three basic types of life insurance that differ in their details.
Term life insurance is known as “pure” life insurance, because it pays out the death benefit if the insured person dies within the defined term, anywhere from one to thirty years. If the named person does not die, no portion of the premiums will be returned to the policyholder. It simply insures against loss of life and has a relatively low premium reflect this. Most term life insurance policies are renewable and convertible.
Whole life insurance has no predefined term; it provides death benefit protection over the “whole” life of the insured, as long as the premiums are paid. A whole life policy also combines an investment component with the insurance component: it accumulates a cash value which the insured may withdraw or borrow against during their lifetime. Compared to other forms of investing, life insurance policies tend to offer a relatively low rate of return. Consult with someone knowledgeable about financial planning before choosing a whole life insurance policy.
Universal life insurance has a cash value determined by short-term interest rates versus the stated long-term rate of a whole life policy. Premium payments in excess of the cost of insurance are added to the policyholder’s interest-bearing account. Although interest rates will fluctuate, it cannot fall below the policy’s stated guaranteed interest rate. Consult with someone knowledgeable about financial planning before choosing a universal life insurance policy.
Funeral Expense Insurance is just that, an insurance policy that pays the costs associated with your funeral. The costs of a modest funeral can vary upwards from $5,000 and an average of around$10,000. There are several different forms of these policies available to assist you with planning for your end of life costs.
Funeral expense insurance can be used to pay for the cost of the funeral alone, or it can cover additional final expenses such as outstanding medical bills, legal costs, or any other debts that you owe, such as credit card bills.
Some of the different types of Burial Insurance policies include:
Preneed Funeral Insurance: This is directly or indirectly linked to a funeral service provider. They have installment payment plans for either 1, 3 5, 7, or 10 years and will remain in effect for your entire life after the premiums are paid. These policies can be either a permanent policy or a term insurance policy. Sometimes you can get a free dinner for attending one of their sales seminars.
Final Expense Insurance: This type of policy is not linked to a funeral service provider and tends to be cheaper than preneed funeral insurance. It may consist of either a term or a permanent life insurance policy.
Burial Insurance: This type of policy is usually a term life insurance policy with lower death benefits such as $5,000 to $15,000 dollars. The death benefits are paid to a named beneficiary who can use the death benefits in the manner of their choosing.
Sometimes, you can also factor in funeral coverage in the life insurance policy of your choosing, like:
Term life insurance: This is a type of insurance policy that covers you for a specific period of time such as a 5, 10, 15, 20, 25 or 30-year term. These policies cover death benefits only.
Permanent insurance: This can be purchased as either a whole life policy or a universal life policy, and is more expensive than a term policy. It covers you for your entire life and also comes with a cash value accumulation feature.
Additionally, smaller death benefit policies can be purchased in some “guaranteed” life insurance policies. These policies do not require a medical exam or a medical questionnaire for coverage. These policies will cost more than policies that do require a medical exam. However, they are ideal for those who have a life-threatening or terminal illness and cannot find insurance coverage from a standard insurance carrier.
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Weekends & Evenings by Appointment
Address 1245 Southridge Court Suite 101, Hurst, TX, 76053