Life Insurance & Living Benefits for Everyone
Life Insurance & Living Benefits for Everyone
What is life insurance ?
Life insurance protects families and businesses from financial loss associated with the death of a loved one or key employee and as a financial tool for retirement planning. Life insurance enables individuals and families of all income brackets and lifestyles to maintain financial independence in the face of financial hardships.
Coverage is just as important for two-income families as it is for single-income families. Stay-at-home parents also need protection to help cover the costs of services they routinely provide, such as cooking, cleaning, and caring for children. Retirees who are living on limited income also find peace of mind knowing that an aging spouse will not be faced with a financial burden after their death.
Love Insurance ?
What is life insurance ?
Life insurance protects families and businesses from financial loss associated with the death of a loved one or key employee and as a financial tool for retirement planning. Life insurance enables individuals and families of all income brackets and lifestyles to maintain financial independence in the face of financial hardships.
Coverage is just as important for two-income families as it is for single-income families. Stay-at-home parents also need protection to help cover the costs of services they routinely provide, such as cooking, cleaning, and caring for children. Retirees who are living on limited income also find peace of mind knowing that an aging spouse will not be faced with a financial burden after their death.
Love Insurance ?
Do you have the right protection plan in place ??
Type of Life Insurance
Term life VS. Permanent life
Do you have the right protection plan in place ??
Type of Life Insurance
Term life
VS.
Permanent life
VS.
Permanent life
What is Group Term Life Insurance?
Group term life insurance is a type of term life insurance where the insurance company, or insurance broker, issues the employer a "group" contract with coverage extended to it's employees. It is commonly a component of a comprehensive benefits package offered by employers.
What is AD&D (Accidental Death Benefit) Insurance ?
Accidental Death and Dismemberment Insurance, or AD&D Insurance, can provide financial benefits if you are killed; or lose a limb, suffer blindness, or are paralyzed in a covered accident.
Just as its name implies, an accidental death and dismemberment insurance policy covers death or injuries that are proven to be the direct result of a covered accident.
Living Benefits & Death Benefits of life insurance ?
The Death Benefit of a life insurance policy is the amount your loved ones (or others you designate as beneficiary) will receive from the insurance company upon your death. Some people think of life insurance only in terms of its death benefit, but there’s a flip side to some types of life insurance that’s fascinating…
The Living Benefits of life insurance allow the policy owner to access cash while still living. Here are beneficial use of both benefits:
- A good life insurance will provide insurance benefits as in both when the insured is living and when the insured dies.
- Death Benefit Protects families by providing benefits to survivors when a primary wage earner dies.
- Businesses use life insurance to protect against financial trauma of the company that can be caused by sudden death and serious illness of an business owner, partner of the company or important key employee.
- The money from a life insurance policy can be used to help families to cover expenses such as:
- Make down payment on a house or Pay off mortgage
- Use it as to provide a steady stream of supplemental income in retirement
- Permanent life insurance offers many tax advantages, including tax-deferred growth on cash value accumulation, tax-free access to your cash value, and income tax-free distribution of death benefits, under current tax law
- Tuition and sending children to college
- Vacation
- Often the benefits from a life insurance policy can keep a family from poverty and welfare
- Pay for medical bills and treatments to save insured’s life, Pay for care taker and Nursing homes
- Pay debt and often build wealth and leave family legacy
- Support continuous business operation despite of losing valuable physical and intellectual labor of a business
What is Group Term Life Insurance?
Group term life insurance is a type of term life insurance where the insurance company, or insurance broker, issues the employer a "group" contract with coverage extended to it's employees. It is commonly a component of a comprehensive benefits package offered by employers.
What is AD&D (Accidental Death Benefit) Insurance?
Accidental Death and Dismemberment Insurance, or AD&D Insurance, can provide financial benefits if you are killed; or lose a limb, suffer blindness, or are paralyzed in a covered accident.
Just as its name implies, an accidental death and dismemberment insurance policy covers death or injuries that are proven to be the direct result of a covered accident.
Is the type of Financial Protection Plan you will get lump sum money when you get sick, without worrying about yourself & your family’s financial situation.
Living Benefits & Death Benefits of life insurance?
The Death Benefit of a life insurance policy is the amount your loved ones (or others you designate as beneficiary) will receive from the insurance company upon your death. Some people think of life insurance only in terms of its death benefit, but there’s a flip side to some types of life insurance that’s fascinating…
The Living Benefits of life insurance allow the policy owner to access cash while still living. Here are beneficial use of both benefits:
- A good life insurance will provide insurance benefits as in both when the insured is living and when the insured dies.
- Death Benefit Protects families by providing benefits to survivors when a primary wage earner dies.
- Businesses use life insurance to protect against financial trauma of the company that can be caused by sudden death and serious illness of an business owner, partner of the company or important key employee.
- The money from a life insurance policy can be used to help families to cover expenses such as:
- Make down payment on a house or Pay off mortgage
- Use it as to provide a steady stream of supplemental income in retirement
- Permanent life insurance offers many tax advantages, including tax-deferred growth on cash value accumulation, tax-free access to your cash value, and income tax-free distribution of death benefits, under current tax law
- Tuition and sending children to college
- Vacation
- Often the benefits from a life insurance policy can keep a family from poverty and welfare
- Pay for medical bills and treatments to save insured’s life, Pay for care taker and Nursing homes
- Pay debt and often build wealth and leave family legacy
- Support continuous business operation despite of losing valuable physical and intellectual labor of a business
Do you have enough financial protection for your loved ones ?
LEARN MORE CONTACT US NOW APPLY NOW & SETUP MEETING
Do you have enough financial protection for your loved ones ?
LEARN MORE CONTACT US NOW APPLY NOW & SETUP MEETING
We call it: Life insurance you don’t have to die to use
You should have access to benefits you can use while you are living. You can access you policy’s benefits while you are still living. Your benefits may include coverage in case of a:
- Chronic illness
- Critical illness
- Terminal illness
You also have access to your policy’s cash value for events such as education, a down payment on a house, or retirement. You should have access to benefits you can use while you are living. We feel Living Benefits provide a combined solution that you can afford to have, but can not afford to be without. This unique package can help protect your plans for today and future.
We call it: Life insurance you don’t have to die to use. What does “life insurance you don’t have to die to use” mean to me? You can access you policy’s benefits while you are still living. Your benefits may include coverage in case of a, chronic illness, critical illness and terminal illness. You also have access to your policy’s cash value for events such as education, a down payment on a house, or retirement.
You should have access to benefits you can use while you are living. You can access you policy’s benefits while you are still living. Your benefits may include coverage in case of a:
- Chronic illness
- Critical illness
- Terminal illness
You also have access to your policy’s cash value for events such as education, a down payment on a house, or retirement. You should have access to benefits you can use while you are living. We feel Living Benefits provide a combined solution that you can afford to have, but can not afford to be without. This unique package can help protect your plans for today and future.
We call it: Life insurance you don’t have to die to use. What does “life insurance you don’t have to die to use” mean to me? You can access you policy’s benefits while you are still living. Your benefits may include coverage in case of a, chronic illness, critical illness and terminal illness. You also have access to your policy’s cash value for events such as education, a down payment on a house, or retirement.
Chronic illness??!! (Please Refer to chart bellow)
Accelerated benefit for chronic illness.
May accelerate up to 25% of the policy’s death benefit if certified by a licensed health care practitioner in the previous 12 months *(varies by companies) as having a qualifying chronic illness. This rider does not terminate after the initial acceleration. Subsequent annual accelerations are available, upon continued qualification, until your client accelerates either 100% of the death benefit or the lifetime maximum of $1,000,000 *(varies by companies) Paid prior to death so amount paid will be less than the amount accelerated. May not be available in all states and is subject to underwriting requirements. Policy death benefit will be reduced by the amount accelerated.
The client should seek tax advice before exercising this rider.
Critical illness??!! (Please Refer to chart bellow)
Accelerated benefit for critical illness.
(varies by companies) You may access up to 100% of your policy’s death benefit, not to exceed $500,000, in the event you suffer a heart attack, stroke, or are diagnosed with cancer. This could help you in a variety of ways to pay for your financial matters as you focus on your treatment. The benefit amount for this rider will be based on your age and severity of the illness. The illness must first occur on or after the start date of the rider. Your death benefit will be reduced by the amount accelerated.
Terminal illness??!! (Please Refer to chart bellow)
Accelerated benefit for terminal illness.
If you are diagnosed with a terminal illness and not expected to live more than 24 months*(varies by states), this rider may accelerate up to 100% or less of the policy’s death benefit, not to exceed $1,000,000 *(varies by companies) The amount paid will be less than the amount accelerated, and your death benefit will be reduced by the amount accelerated.
These are some example of the riders *(varies by companies)
- Accelerated benefit for critical illness
- Accelerated benefit for chronic illness
- Accelerated benefit for terminal illness
- Waiver of monthly deductions if you are disabled
- Accidental death benefit rider
- Over loan protection rider
- Primary insured term life insurance rider
- Spouse term life insurance rider
- Children’s level term insurance rider
*(All living benefits are varies by companies & states rules & regulations)
Case Study
Nicholas, a husband and father of two, suffers a severe heart attack at the age of 54. He uses his critical illness rider to reduce the policy’s death benefit by $150,000, and in return gets $100,000 in cash today. He is able to use this money to cover his medical expenses, and pay of his family’s mortgage.
These are some example of the riders *(varies by companies)
- Accelerated benefit for critical illness
- Accelerated benefit for chronic illness
- Accelerated benefit for terminal illness
- Waiver of monthly deductions if you are disabled
- Accidental death benefit rider
- Over loan protection rider
- Primary insured term life insurance rider
- Spouse term life insurance rider
- Children’s level term insurance rider
*(All living benefits are varies by companies & states rules & regulations)
Case Study
Nicholas, a husband and father of two, suffers a severe heart attack at the age of 54. He uses his critical illness rider to reduce the policy’s death benefit by $150,000, and in return gets $100,000 in cash today. He is able to use this money to cover his medical expenses, and pay of his family’s mortgage.
Do you have life insurance ? What kind of life insurance do you have ?
Old one or new one ?
Old one or new one ?
Do you have life insurance? What kind of life insurance
do you have?
Old one or new one?
do you have?
Old one or new one?
1If I elect a Living Benefit and do not die, do I have to return the money?
No. If you receive a payment of Living Benefits, that money is yours to use as you please. You do not have to return the money if you live longer than expected.
2Does every life insurance company offer living benefits?
Unfortunately, the answer is NO. More and more companies are starting to add this feature into their products, but not every life insurance company offers living benefits. In addition, living benefits vary amongst the different life insurance carriers.
3Are life insurance policies with living benefits more expensive, compared to traditional policies
The companies offering living benefits are less than the ones that do. Therefore, there are fewer companies to choose from, when it comes to living benefits. However, take a look at the image below. The first company does NOT offer living benefits, while American National does. The price point is $1.40 per month. (Comparison is based on sample term insurance)
4Are living benefits the same as cash value?
We get this question a lot. The answer is NO. Unlike, cash value accumulation, living benefits are available on term insurance as well as permanent plans.
5Do I need a medical exam to secure a life insurance policy with living benefits?
It depends on the company you select and if you would qualify to that company’s guidelines. Many companies would require you to complete a medical exam, while others would waive it and offer non-medical underwriting.
6Do I get a lump sum or installments for the living benefit payment and death benefit?
Typically, companies would allow you to make that decision for yourself for the death benefit. You would need to assess the situation and determine if a lump sum payment will be good for you. Many of our clients will take the lump sum death benefit and start an annuity and another life insurance to stretch the money as much as can and do accumulate it again tax deferred. For the living benefit, most of our clients will choose the lump sum payment.
7Do I have to pay back the living benefit money?
No, you don’t. Living benefits are not considered a loan against your life insurance. The money is taken from your death benefit and the option to accelerate it.
8Do I have to report the living benefits on my taxes?
Proceeds (death benefits) payable from life insurance are generally tax-free for the beneficiary. In most cases, living benefits are not subject to federal taxes if a terminally or chronically ill person meets certain requirements. Under the federal tax code, for example, a terminally ill person is defined as having only 24 months to live. But there are exceptions. For example, some people who hold financial assets outside the U.S. may be responsible for potential taxes so always consult tax professional when in doubt.
9How would my beneficiary get the death benefit money?
Typically, when a person passes away, his or her beneficiary will contact the company and file a death claim. The company will send out a death claim package. The beneficiary would have to fill it out and return it along with a copy of his or her ID and the death certificate. That it. The company would review the information if no additional information is needed, they will process the payment. Let’s just point out of the biggest advantage of life insurance: the death benefit is generally tax-free the beneficiary. That’s right. They won’t have to worry about paying upwards of one third in taxes.
Please Ask Questions
Start or check on your Life Insurance &
Living Benefit plan
LEARN MORE CONTACT US NOW APPLY NOW & SETUP MEETING
Living Benefit plan
LEARN MORE CONTACT US NOW APPLY NOW & SETUP MEETING
1If I elect a Living Benefit and do not die, do I have to return the money?
No. If you receive a payment of Living Benefits, that money is yours to use as you please. You do not have to return the money if you live longer than expected.
2Does every life insurance company offer living benefits?
Unfortunately, the answer is NO. More and more companies are starting to add this feature into their products, but not every life insurance company offers living benefits. In addition, living benefits vary amongst the different life insurance carriers.
3Are life insurance policies with living benefits more expensive, compared to traditional policies
The companies offering living benefits are less than the ones that do. Therefore, there are fewer companies to choose from, when it comes to living benefits. However, take a look at the image below. The first company does NOT offer living benefits, while American National does. The price point is $1.40 per month. (Comparison is based on sample term insurance)
4Are living benefits the same as cash value?
We get this question a lot. The answer is NO. Unlike, cash value accumulation, living benefits are available on term insurance as well as permanent plans.
5Do I need a medical exam to secure a life insurance policy with living benefits?
It depends on the company you select and if you would qualify to that company’s guidelines. Many companies would require you to complete a medical exam, while others would waive it and offer non-medical underwriting.
6Do I get a lump sum or installments for the living benefit payment and death benefit?
Typically, companies would allow you to make that decision for yourself for the death benefit. You would need to assess the situation and determine if a lump sum payment will be good for you. Many of our clients will take the lump sum death benefit and start an annuity and another life insurance to stretch the money as much as can and do accumulate it again tax deferred. For the living benefit, most of our clients will choose the lump sum payment.
7Do I have to pay back the living benefit money?
No, you don’t. Living benefits are not considered a loan against your life insurance. The money is taken from your death benefit and the option to accelerate it.
8Do I have to report the living benefits on my taxes?
Proceeds (death benefits) payable from life insurance are generally tax-free for the beneficiary. In most cases, living benefits are not subject to federal taxes if a terminally or chronically ill person meets certain requirements. Under the federal tax code, for example, a terminally ill person is defined as having only 24 months to live. But there are exceptions. For example, some people who hold financial assets outside the U.S. may be responsible for potential taxes so always consult tax professional when in doubt.
9How would my beneficiary get the death benefit money?
Typically, when a person passes away, his or her beneficiary will contact the company and file a death claim. The company will send out a death claim package. The beneficiary would have to fill it out and return it along with a copy of his or her ID and the death certificate. That it. The company would review the information if no additional information is needed, they will process the payment. Let’s just point out of the biggest advantage of life insurance: the death benefit is generally tax-free the beneficiary. That’s right. They won’t have to worry about paying upwards of one third in taxes.
Please Ask Questions
Start or check on your Life Insurance &
Living Benefit plan
LEARN MORE CONTACT US NOW APPLY NOW & SETUP MEETING
Living Benefit plan
LEARN MORE CONTACT US NOW APPLY NOW & SETUP MEETING