No one wants to even think about a funeral, let alone plan one. But working things out in advance and buying life insurance to cover the costs protects family members from the unpleasant job of negotiating services as they grieve for a loved one.The average cost of a traditional funeral, including embalming and a metal casket, is almost $6,600, according to the most recent data from the National Funeral Directors Association. Cemetery services, including the gravesite and vault or liner, can cost an additional $3,000.
TERM LIFE INSURANCE
Term Life insurance policies generally offer the greatest amount of coverage for the lowest initial cost – they are the most straightforward form of coverage. If you have shorter-term needs and limited money to spend on insurance, a Term Life insurance policy may be the best fit for you.
Policyholders generally pay a premium on a monthly or annual basis for the length of that term. Proceeds help to cover financial responsibilities that decrease or end over time, like mortgages or car loans, should something happen to the insured. With Term Life policies, premiums can increase at the end of the fixed-term period.
Term Life insurance policies are typically used to help provide additional Life insurance coverage during child-raising years, to help pay for short-term debts, help pay off a mortgage, or fund a college education should something unexpected happen.
WHOLE LIFE INSURANCE
Whole Life is one of the most common types of Permanent Life insurance. With Whole Life insurance policies, the cash value accumulates at a guaranteed interest rate and typically the policy owner may borrow against the cash value of the policy.
Some Whole Life insurance policies can produce excess credits, which can be used to purchase additional paid-up Life insurance, increasing the available death benefit.
UNIVERSAL LIFE INSURANCE
Universal Life is designed to help you meet your current and future Life insurance needs, and provide lifetime security for you and your family. It also offers income tax-deferred cash accumulation that earns a competitive interest rate to help you reach your financial goals.
Universal Life insurance protects your family and offers strategies for leaving behind a legacy for your loved ones.