InsuranceLecturer — Generally, Lif insurance policies are categorized into five primary types. In order to determine which type would best suit your personal situation, you would need to consider several factors like age, income, existing health problems and current medical condition and the desired policy cash value.
Note that not all insurance companies offer all five types. It is also important to understand that the premiums of life insurance policies can vary greatly and that your financial capability is also a factor that you need to consider when going through your options.
However, contrary to what some people think that life insurance is always expensive, you do have plenty of choices as far as cheap life insurance policies go.
Before getting life insurance quotes in Oregon or in the state you are in from several companies, read on to first familiarize yourself with the five primary types of life insurance policies you can get.
Variable Life Insurance — This is a type of permanent life insurance which draws the policy premiums from an investment account. This means that the premium amount and the worth of the policy would vary and that the policy is considered to be a security.
Whole Life Insurance — This type of life insurance offers coverage for the entire life of the policyholder. One of the main advantages of this type of policy is that the premium is fixed and would not likely change or increase even when you get older.
Universal Life Insurance — This is a type of whole life insurance policy which earns interest. Its premium is typically paid annually and can vary depending on the changes you have made and on the interest that you earned.
Variable Universal Life Insurance — The premiums of this type of policy generally come from investments, making them a bit risky. However, a variable universal life insurance policy provides with you the flexibility to decide how much you want to invest on your policy, which means that your cash value could vary greatly.
Term Life Insurance — This type of life insurance policy offers coverage for specified period of time and comes with a set value in the event that the policyholder passes away during the coverage period. Once the policy ends and the policyholder is still living, nothing will be paid to them.