WHY INVEST IN LIFE INSURANCE?

Having life insurance when you die could possibly determine whether of not your spouse and children will continue to enjoy the same good life that you've provided for them while you're alive. Without life insurance your spouse may be forced to sell the house, the "extra" cars, boats and all the toys you've worked so hard all your life to acquire.

Have you chosen not to buy life insurance? If so, you can believe this will be financially overwhelming for the family that will miss you when you're gone. They could be losing a spouse and a parent along with the only lifestyle they ever known.

Think about this question: Why Should I Buy Life Insurance? Now look around you for a few minutes. Is what you own worth keeping? If you died today would your family want to throw it all away? The answer is probably not and the truth is the only way they can maintain possession of your property is if you have invested in a life insurance policy that will continue to pay the bills long after you've passed on.

The simple truth in life is that we're all going to die. Knowing that to be a fact, why not take thirty days of your life now to "put everything in order." One of the best ways to do that is research and buy a life insurance policy to cover your needs.

Discuss life insurance with those people you trust. I'm betting that you won't find anyone who will recommend against buying life insurance. If you refuse to buy life insurance to benefit yourself then do it for your beneficiaries. You will never know the long-term affect it will have on their lives.

Where Can I Buy Life Insurance?

When it comes to purchasing life insurance your options are endless. You can search the phone book to find an insurance agent that sells life insurance. Don't hesitate to depend on a trustworthy friend for advice. Someone that's already investing in life insurance and can point you in the right direction.

Logon to one of the big three search engines, www.google.com, www.yahoo.com or www.msn.com and perform a search for the keyphrase "life insurance". The best place to find an enormous amount of information about life insurance is on the internet. However, the first step you should take is to do research.

You'll be overwhelmed with the amount of information that you'll be presented with. At this point it comes down to what information you can trust. Don't panic and don't rush into anything. Making a hasty decision could cost you a lot of money now and in the long-term.

Simply take your time, do the research and give it a few weeks. When it's all said and done you'll find that having a life insurance policy to provide for your loved ones you're gone will give you a peace of mind that no amount of money can buy.

Why Should I Invest In Life Insurance?

TERM LIFE INSURANCE

Term is simple. You pay a premium for a period of time (the term) from one to thirty years and if you die during that time the insurance is paid to the person or persons you designate to receive it - called the beneficiary(ies).

Term life insurance usually has the lowest premium in the early years, making it the most affordable life insurance - initially. Term does not build cash value.

It covers you for a specified period of time (usually from 5 to 30 years, you choose). If you purchase a $1,000,000 term life insurance policy for 20-year period and you die in any of those 20 years, your beneficiary receives the million dollars.

If you are still living at the end of the term, your insurance policy is over unless you can renew the policy. When you renew (assuming your policy has that feature) it will renew at a higher price reflecting your now older age. Term insurance has no buildup of cash as with whole life insurance. Some term life insurance policies do offer a return of premium.

Return of Premium (ROP) Life Insurance

Return of premium life insurance is a newly introduced term life insurance policy that provides both death benefit protection and a return of premium insurance feature. Return of premium life Insurance is aimed right at one of the greatest objections to term life: “I am probably not going to die, and my money will have been wasted."

Here’s how it works: If you keep your policy for the term period, at the end of that time whether 15, 20 or 30 years, the life insurance company that issued the insurance with the return of premium policy, returns the entire premium that you paid for the insurance.

There also is some partial return of premium for policies canceled before the end of the term (depending on the year it’s canceled – the longer it’s kept, the higher the amount of the return.)
When you buy insurance with a return of premium option, you do not have to waste your money.

Unlike regular term policies, Return of Premium term life insurance rewards you for keeping the policy by giving a guaranteed return of your total cumulative premium paid on the policy during the level term period, not including substandard (extra charges for health) and rider charges (extra benefits such as disability coverage), if any, which will be paid to the policy owner at the end of the level term period if the policy is then in force.

Here’s an example: Male, age 35 with the best rate of preferred plus, $500,000 of 30-year return of premium term life insurance:
Annual premium = $810; Return of Premium after 30 years = $24,300
($810 x 30yr = $24,300)

The life insurance return of premium is considered income tax free, because you aren’t receiving back more than you put into the return of premium life policy. The return of premium term life insurance policies feature fully guaranteed level premiums for the first 15, 20 or 30 year

MICRO-INSURANCE

Micro-insurance is defined by CGAP as “the protection of low-income people against specific perils in exchange for regular monetary payments (premiums) proportionate to the likelihood and cost of the risk involved.” As with all insurance, risk pooling allows many individuals or groups to share the costs of a risky event. To serve poor people, micro-insurance must respond to their priority needs for risk protection (depending on the market, they may seek health, car, or life insurance), be easy to understand, and affordable.

Micro-insurance has grown out of the micro-finance movement, where savings, credit and other services have proven successful in helping low-income communities better manage their resources and create their own opportunities. While standard micro-finance products can provide some risk management, the subject of micro-insurance is attracting wide interest as a growing body of evidence demonstrates the potential benefits of micro-insurance for low-income houses and businesses that are traditionally excluded from conventional insurance services.

The intent of micro-insurance is to provide easily accessible insurance cover for small-scale assets at affordable premiums by keeping transaction costs low. The first micro-insurance programmes generally focused on health care and funeral cost products, with new developments and innovations not only improving existing products but also expanding to cover new risks like natural disasters.

Some of the general micro-insurance lessons learned from Columna’s experience include:

• The most cost-effective way to reach the low-income market is through organisations that already reach large numbers of the target market.
• The distribution of micro-insurance should therefore be implemented through microfinance institutions (MFIs), cooperatives, trade unions and the like.
• Insurance company shareholders should implement a policy on surplus that allows the company to grow and maintain good solvency levels.
• Benefits can be reaped from collaborations with international organisations that provide support, training and market information.
• A micro-insurance product must be simple and the premiums should be affordable.
• There should be a range of premium and benefit levels to make the product relevant to a higher percentage of the targeted market.
• Sales personnel must receive adequate training to promote micro-insurance products; printed promotional material should be simple to understand.
• An insurance company must establish a mutually beneficial relationship with its marketing and distribution channels.

Source: Columna Guatemala (CGAP Working Group on Microinsurance Good and Bad Practices Case Study No.5)

HEALT INSURANCE UNDERWRITING

This is a feature bringing up numerous angles of the issue of health insurance underwriting . It is going to begin with the basic facts and after that go on to more knotty specific details.

The point of this article dealing with the subject of health insurance underwriting is to describe and then to analytically talk about the various perspectives of this attractive, but baffling meaning of health insurance underwriting . What to Seek in Good healthcare policy

medicare coverage is a kind of protection that offers payment of benefits for eligible medical problems or trauma. Included in online medical insurance are several types of insurance such as trauma coverage, disability income insurance, checkup cost coverage, and unintentional fatality insurance. Before signing the health coverage policy make sure you completely read the reimbursement section. Take note of any physical condition care treatment that isn`t insured by your wellness insurance document. In addition, especially pay attention to how the medical insurance document is phrased. Sometimes, medical coverage providers conceal the coverage exclusions within the language. For example, a health care insurance corporation might describe the term `emergency` as something that is a deadly situation that can`t be reasonably attended to by a primary care doctor, whereas your meaning of `emergency` might be any situation that demands quick clinical attention. Obviously, there`s a significant difference between the two definitions. If you find yourself in an emergency circumstance where you sustain a fractured arm, for instance, your medi care coverage online provider might deny coverage for emergency room care of a broken arm because the broken limb does not fall under the fatal category. Therefore, you should read carefully the health care coverage online document descriptions, paying meticulous notice to the seven important phrases:

1. Health emergency
2. Medically essential
3. Accidental trauma
4. Experimental or investigational
5. Pre-certification
6. Previously diagnosed conditions
7. Practical and customary

These words and all phrases that are open to analysis ought to be regarded with wariness. Find out how your online health insure company describes every one of these.

Lastly, go to the paragraphs telling the rules you must abide by for your online health insure company to reimburse you. These document limitations or prerequisites are typically worded in a up-beat tone. Read through every stipulation thoroughly, take comments, then phone your health care insure establishment with any questions. You also should compare medical insure documents prior to signing one of them. To compare exclusions, examine two policy contracts and find the exclusions paragraphs. If you choose to assess quite a few health care ins contracts, you might use an on-line site. After you get your free estimate for the medical benefits you desire, apply for it on-line, and you`ll obtain all the answers that you require in order to judge exclusions of every medicare insurance on line document (though sometimes this can require additional investigation.)

Nearly all the readers of the composition which concludes here have found its reasoning and then exemplars to have made the issue apprehensible, we are hopeful that you feel the same way too.