| By Donald Lusan
Guaranteed term life insurance. One of the
more loosely used terms when selling most any
product is the word "guaranteed".
Sometimes there is a measure of validity to
it, sometimes not. Fortunately for the life
insurance buyer the phrase "guaranteed
term life insurance" is for real. When
a life insurance company says that certain values
are guaranteed they certainly are...
A life insurance company depends a great deal
on reputation and as a result they try to write
language in their policies that will stand up
to any type of legal scrutiny.
Some of the provisions included in your guaranteed
term life insurance policy are as follows:
A guaranteed level or decreasing death benefit.
This depends on the type of policy chosen.
Guaranteed payment upon death, free of income
taxes. As long as the law remains as it is this
is one of the more attractive benefits of the
so called "guaranteed term life insurance
policies".
A guaranteed premium for a specific period of
time. Some premiums increase after a certain
number of years but even the increase is guaranteed.
Your term life insurance policy also guarantees
that you can reinstate it should it end up in
a state of lapse because of nonpayment of premiums.
If your health changes you may need to prove
insurability all over again. The policy must
be reinstated within a certain period of time
as stated in the contract itself.
Guaranteed term life insurance policies also
cannot be taken away from you as long as you
pay the premiums. If you own a 10 year term
policy it can only be terminated by you within
the 10 year period. The insurance company cannot
terminate it.
Your guaranteed term life insurance policy assures
you that if you should die by suicide within
a certain number of years, usually two, the
proceeds of the policy will be limited to the
premiums paid plus interest. After the 2 year
period if you should die a suicide the full
death benefit will be paid. They force anyone
thinking of this to wait at least 2 years. The
result is that a person thinking of suicide
usually changes his or her mind by that time.
If you should elect that your family receive
an income instead of a lump sum your life insurance
policy can also guarantee this income for life
or for a specific period of time.
On the more personal side your life insurance
policy can guarantee that your loved ones will
always have food to eat, a roof over their heads
and clothing to wear. The fact is that your
term life insurance policy can guarantee that
the lifestyles of the ones you leave behind
will change very little, if any at all. This
is the true power of your guaranteed term life
insurance policy.
The businessman can be certain that if a key
employee died suddenly the company could go
on with their daily business without missing
a beat. Your guaranteed term life insurance
policy would be used as a kind of buffer while
the company readjusts.
If a partner or stock holder of a business should
die your life insurance policy can be used to
provide sufficient cash to buy out the stock,
or shares, from the survivors of the deceased.
The business will go on and everyone will be
aptly compensated.
Your guaranteed term life insurance policy can
be an awesome tool. If you own such a policy,
for the right amount, you can relax.
Take a look at how some guaranteed term life
insurance policies work:
http://www.lifeinsurancehub.net/termlifeinsurancequotes.html
For more than 40 years Donald has been known
for his extensive knowledge of the life insurance
business. He has represented some of the largest
and most admired life insurance companies in
the United States as well as Canada. His advice
is invaluable.
Donald's website is: http://www.lifeinsurancehub.net
|
