Life insurance comes in several forms and can be used for many other purposes besides just paying for your final expenses. The best time to buy life insurance is when you’re in good health. The younger you are and the healthier you are, the better your rates will be. At the Lindquist Insurance offices in both Frederick MD and Annapolis MD, we help people like you fashion just the right policy to better secure your family's or business' future.
Why Purchase Life Insurance?
Life insurance is a popular financial planning tool. Since the benefits of a life insurance policy are typically paid upon your death, many people regard it as just a way to pay for their funeral and burial. However, depending upon the type of policy chosen, it can also be useful to:
- Provide an income for your dependents in the event of your death.
- Create an inheritance for your beneficiaries.
- Create a charitable contribution fund.
- Accumulate savings if your policy grows a cash value.
- Provide funds to pay off a mortgage, pay educational costs and/or raise children.
- Fund a buy-sell agreement for business partners.
- Insure against the loss of a key person in a business.
- Pay federal or state estate taxes to remove that burden from your heirs.
Types of Life Insurance Policies
We offer two types of life insurance – permanent and term.
- A Term life insurance policy typically pays benefits only if death occurs within the defined term of the policy (10, 15, 20 or 30 years). It will not have an accumulated value that you may cash in or borrow against. Many term life insurance policies offer the option to convert to a permanent (cash value) policy during a specified period of time.
- Permanent life insurance is structured to pay benefits for a “lifetime” – often even beyond 100 years of age. We offer two types of permanent policies: traditional whole life and universal life insurance.
- With traditional whole life insurance, the death benefit does not change and the premium remains constant for the life of the policy. Over time, the policy accrues a cash value which you may withdraw or borrow.
- A universal life insurance policy is much like traditional whole life insurance, except that there is more flexibility in some of its features. It is dependent on interest rates and timing of premium payments that will affect the longevity of the policy. It is usually geared to provide a longer term death benefit than accumulating cash value and is therefore typically less expensive than whole life.
Is it time to add Life Insurance to your Plan for the future?
Why not discuss your life insurance options with one of our experienced agents here at Lindquist Insurance who will answer your questions and assist you in examining your options. Contact us today to discuss how we can assist, according to what your needs and goals are. We would be happy to provide you with quotes promptly.
The scope of your insurance coverage and options depend entirely upon the policy and the insurance company providing it. This website is not intended to advise, offer or bind coverage. You should always discuss your insurance issues with professionals such as a licensed and qualified insurance agent like those at Lindquist Insurance before making any decisions or choosing a course of action.