Life insurance is a crucial step in planning for your future and the future of your loved ones. It can fulfill promises made to your family if you are no longer around by providing a death benefit to your beneficiaries in return for premiums paid to the insurance company. Life insurance can also provide benefits while you are living. Contact Modab Insurance for help deciding which Life Insurance policies are right for you and your loved ones.
Life Insurance policies to help make sure you and your loved ones are taken care of.
Term Life Insurance provides life insurance protection for a specified period of time. If you don’t currently have life insurance, term can be a good place to start. It’s generally less expensive than permanent life insurance, and is available in varying term periods with fixed premiums from a one- (annual renewable term) to 20-year period (level term). Term insurance can sometimes be converted to permanent coverage, providing you with flexibility as your needs change.
Whole Life Insurance is a form of permanent life insurance that remains in force during the insured person’s lifetime, provided the premiums are paid as specified in the policy. Whole life insurance can build cash value.
Universal Life Insurance is a form of permanent life insurance characterized by its flexible premiums, flexible face amounts, and unbundled pricing structure. Universal life can build cash value, which earns an interest rate that may adjust periodically but is usually guaranteed not to fall below a certain percentage.
An annuity is a series of payments at fixed time intervals based upon the terms of an agreement. In the context of life insurance, a life annuity is paid out until as long as the purchaser (or 'annuitant') is alive. This can be used as a tool for retirement planning where a purchaser would pay into the annuity while they are working either in one lump sum, as with a fixed annuity, or in multiple payments to an investment portfolio, as with variable annuities. One of the main benefits of a life annuity to the purchaser is that the insurance company bears the uncertainty of the length of the benefits as they are based on the lifespan of the annuitant. Life annuities can be a good investment but it is important to utilize the expertise of a trusted insurance agent when deciding which plan is right for you. Feel free to contact us any time to learn more.
Long-Term Care is the type of care received either at home or in a facility, when someone needs assistance with activities of daily living, such as bathing and dressing due to an accident, an illness or advancing age. Rising life expectancy means that the potential need for "long-term care" grows with every passing year of your life. The likelihood is that you or a member of your family will need long-term assistance due to a prolonged illness, a disability, or general deterioration of your health and ability to perform routine daily activities. Most long term care expenses are not covered by Social Security or Medicare, Medicare Supplement ("Medigap"), or private health insurance. Medicaid pays for nearly half of all nursing home care, but you must meet federal poverty guidelines and may have to "spend down" most of your assets on health care.
A steady income is essential for most people. If an accident or illness interrupts that income, it affects both the employee and employer. Short Term Disability (STD) protection is designed to replace a portion of the wages lost when a short term disability occurs. An affordable, flexible STD plan can provide needed benefits to both the employer and employee.
Mortgage Insurance, sometimes referred to as a 'Mortgage Guarantee' or 'Home-Loan Insurance,' is a type of insurance that protects the lender in the case of a borrower defaulting on a loan in specified circumstances, such as death or disability. Lenders typically require that the borrower secure Mortgage Insurance if the down payment is less than 20%. This financial tool allows the lender to minimize their risk in the event of a default and gives potential borrowers an opportunity to secure a mortgage in some cases where they might otherwise be denied. In the context of Life Insurance, Mortgage Life Insurance is a type of insurance that pays out if the borrower dies while the mortgage is still being paid off. This can help families keep their homes in the unfortunate situation where a loved one passes away before their mortgage is fully paid off.
Dual Life Insurance, also known as 'Second-to-Die Insurance' or 'Survivorship Insurance,' is a type of insurance that pays out after both partners, usually spouses, have passed away. This is a useful tool for estate planning as there are often unexpected costs that arise in a family after the second insured passes away. These costs can include estate taxes, legal fees, etc. Dual Life insurance helps pass on assets such as a homes, businesses, or other investments to heirs without having to sell them in a fire sale to cover the immediate tax burden. While Dual Life insurance is especially recommended for people with a high net worth, it can also be a good investment for young families to make sure that in the unfortunate event that both parents pass away their young children will be taken care of for the foreseeable future.