Life insurance is not for the dead, it’s for the living. Unlike other savings and retirement programs which could take years to accumulate enough money on which to live, it acts as an instant legacy should one or more of the income providers die unexpectedly. While it can’t replace the lost loved one, it can protect his or her income stream so that their family won’t be facing a financial hardship in addition to the emotional loss just suffered.
However, should you live to retirement, your life insurance policy can also be a powerful savings program. Call us today at 520-742-6121 to find out how saving through your life insurance can be a good idea.
At Martin Insurance Consultants, we work hard to understand your individual circumstances so that we can better protect your interests when writing your life insurance policy.
We are also happy to answer important questions like:
What happens if I die unexpectedly?
Are the proceeds taxable?
What’s better, Term or Whole Life insurance?
What happens if I’m disabled and need long term care?
There are many facets to life insurance. We will work with you to devise the best possible strategy for your circumstances, then determine which of our companies will provide you the best protection and potential for growth.
We know and understand how important your future is, and the value of protecting it. Outliving your savings could be devastating, so you need something that will work as hard as you do. Life insurance can protect your family and your future.
Contact us today so we can begin helping you. We can answer your questions about Life insurance and what’s right for you. We’re here to help you protect your family and your future.
Don’t leave the future of yourself and your loved ones to chance.
Having the right life insurance is pivotal in planning for the future of yourself and your loved ones. Life insurance can help you fulfill promises you have made to your family for after you are gone.
Life changes – so should your policy.
The right amount and type of life insurance will be unique to you, and dependent on your personal and financial needs. As your life changes, your life insurance coverage may need to change in order to adapt to your current needs. Some life transformations that may require a policy “tune-up” include:
You recently married or divorced
You have a new child or grandchild
You have opened or expanded a business
Your health or your spouse’s health has deteriorated
You are providing care or financial assistance to a parent
Your child or grandchild requires assistance or long-term care
You recently purchased a new home
You are planning for a child or grandchild’s education
You are concerned about retirement income
You have refinanced your home mortgage in the past six months
You or your spouse recently received an inheritance
You have a sizable estate
Contact us today to get a free analysis of your current policy.
What you need to know about life insurance.
We can help you select the best life insurance coverage for your needs. There are several different types of life insurance products available – the most common include:
Term Life Insurance
Term life insurance provides protection for a specified term or period of time. Term life is typically the least expensive life insurance; but doesn’t have a savings potential. Term life is often convertible to permanent coverage, providing you with flexibility as your needs change. It can work with a good savings/investment program to help a disciplined saver put together a good nest egg.
Whole Life Insurance
Whole life insurance is a form of permanent life insurance that remains in force for your entire lifetime, provided premiums are paid as specified in the policy. Whole life insurance can be an investment opportunity, as many whole life insurance policies also build cash value over time. However, while whole life is relatively safe, it often provides a lower rate of return than other investments.
Universal Life Insurance
Universal life is a form of permanent life insurance characterized by its flexible premiums, face amounts and unbundled pricing structure. It can build cash value, which earns an interest rate that may adjust periodically, and can also be coupled with indexed, fixed, or variable investment products in order to build value. The indexed and fixed options typically have guarantees to keep you from losing money; but usually have caps as well. They are safer and can make good, but not great returns in strong markets. The variable option puts the investment into the securities market where you can enjoy the full profit and loss of the market.
Hybrid or linked life insurance and long term care
Planning for LTC (Long Term Care) is an important way to protect even the most solid retirement plan. For many years, the primary options for LTC planning were self-insuring or purchasing traditional LTC insurance. Today, there is another way to protect your future using “Linked Benefit LTC Coverage” which combines life and LTC into one innovative package. Contact us today for more information on this new way of combining insurance.
What are the advantages of life insurance?
Should the worst happen, life insurance provides an immediate legacy for those left behind. Unlike an IRA that may need decades to reach the face-value of an insurance policy, life insurance guarantees you that amount the moment you pay the first premium, providing one has no medical reason that the insurance company would not have insured him or her in the first place.
In addition, not only can life insurance provide assurance for your family after you are gone, many life insurance options offer other benefits and investment opportunities you can take advantage of while you are still living and in retirement.
Advantages of the life insurance death benefit: When you pass away, your life insurance provides income tax-free money to your named beneficiary or beneficiaries that can be used to pay funeral expenses, debt, tuition, estate taxes or virtually any financial need. Your policy can help provide security for your business security as well, by enabling partners to buy out the interests of a deceased partner and prevent a forced liquidation. Insurance benefits are NOT taxable.
Advantages of Living Benefits: The cash value growth of a permanent life insurance policy is tax-exempt in most cases, meaning you do not pay taxes on the growth of cash value. Loans or withdrawals can be taken against the cash value of a permanent life insurance policy to help with expenses, such as college tuition or the down payment on a home. With only a few exceptions, insurance benefits are NOT taxable.
Life Insurance FAQs
Q: How much life insurance should an individual own?
A: The purpose of life insurance is to replace, as much as possible, the earnings of the deceased. The “Rule of thumb” suggests that number should be 10 times the annual earnings; but it’s more important to be able to afford your insurance. The most important factor is how much will the family absolutely need to replace the lost income, and how long they will need it. We can help you determine that amount.
Q: What about purchasing life insurance for a spouse or children?
A: In certain circumstances, it is advisable to purchase life insurance for children. There is a cost to burying a child, and often times the value of a spouse is not realized until the survivor has to pay for everything that previously seemed to be for free. Calculating the correct amount of life insurance to buy is not as simple as it appears. We use a combination of experience and technology to help you find a workable amount.
Q: Should term insurance or cash value life insurance be purchased?
A: This depends on your personal circumstances. Contact us today for a free, no obligation consultation to help determine what type of insurance would best suit you.
Q: How does mortgage protection term insurance differ from other types of term life insurance?
A: The face amount under mortgage protection term insurance decreases over time, consistent with the projected annual decreases in the outstanding balance of a mortgage loan.
Q: Can an existing life insurance policy be used to provide for the repayment of an outstanding mortgage loan?
A: Yes. An existing policy, either term or cash-value life insurance, can be used however you choose.
Q: Can a life insurance policy also be used to provide long term care?
A: Yes. New hybrid/linked life insurance policies can pay for long term care costs, up to the face value of the policy.
One size does not fit all
Since every situation is unique, your insurance portfolio should consist of a unique blend of coverages, limits, deductibles, and premiums. With our individualized approach, you receive a portfolio as unique as you.
There when you need us
Rest assured that when you have a claim, you are not alone. Not only do we counsel you about your claim, we are also your advocates. Request your free, no obligation insurance review today!
Martin Insurance Consultants provides Life, Health, and Retirement Benefits in Arizona and retirement benefits in New Mexico.