Now, no one likes to think about the consequences of their death. Yet, people die of accidents and diseases every single day. Around 2.5 million people in the United States die every year. While diseases lead the list of causes, over 100,000 people die every year of accidental causes.

If you have family members that depend on your earning power, the important question you must ask yourself is, “What will happen to them if I am no longer around to provide for them?”

And, you must ask that question now, before you die of an accident or are diagnosed with a deadly disease. Once you are involved in a deadly accident, it’s to late to obtain life insurance. And, once you are diagnosed with a deadly disease it’s awfully hard to obtain life insurance.

Life insurance can protect and provide for your family in a number of ways:

- Pay off debts

- Provide care and education of your children

- Provide needed money before your spouse can make up for your lost income

=== Life Insurance Can Pay Off Debts ===

Many families live in a home with a substantial mortgage. Your mortgage typically represents your greatest debt. Your income is probably what provides the money to pay your mortgage payment. Life insurance can be used to pay off that mortgage debt if your income is lost.

Millions of families have a large credit card debt. They often cannot pay off their credit cards every month. Those families that seldom pay off their credit cards have an average debt of nearly $8,000. And, many families that declare bankruptcy have tens of thousands of dollars in credit card debt. Life insurance can be used to pay off that credit card debt.

=== Life Insurance Can Help Pay for the Care and Education of Your Children ===

If you are a family with “special needs” children, you may be paying for special tutoring or child care. These expenses will continue beyond your untimely death. Life insurance can help provide for your child’s special needs. This help could continue for quite some time.

A university education often costs $20,000 a year or more. Your savings and investments over the years could help pay that cost. But, if your income stops before those investments can grow to help your children with their education expenses, your children will have less money available to get them through their university education. Life insurance can be used to help provide the educational costs of tuition, books, fees, and living expenses.

=== Life Insurance Helps Your Spouse ===

Your spouse may or may not be able to make up for your lost income. Depending on your spouse’s age or other circumstances, your spouse may:

- Re-marry and gain another source of income.

- Wait until a pension and/or Social Security provides an additional income stream.

- Increase income from employment or entrepreneurial efforts.

Life insurance can help your spouse make the transition from the time of your death to the time of a new income stream. While life insurance sales people often want you consider your family’s lifetime income requirements, this is often beyond what is really required.

You need to consider how large an income stream your spouse needs and for how long before a successful transition to another source of income can be made. The face value of your life insurance can be tailored to help provide the income stream through this interim period.

Typically, as you become older and income from pensions and Social Security are closer at hand, your need for life insurance decreases. And, if you have built up sufficient financial resources, your need for life insurance is almost non-existent.

=== Types of Life Insurance ===

There are two basic types of life insurance:

- Term Life Insurance

- Whole Life Insurance

Term life insurance is simply a contract that calls for you to pay a premium for a certain number of years for a certain face value of life insurance. The length of the contract can vary from 1 to 30 years. If your term policy ends without your death, you receive no benefits. If you die before your policy ends, you survivors receive the full face value of the insurance.

Some term life policies are called “decreasing term” because the face value of the policy decreases over the years. Term life insurance policies are often “renewable” when they expire, allowing you to get another policy of term life insurance without a new physical examination.

Whole life insurance is a long term policy in which you pay premiums that provide for both life insurance and a “cash value” investment plan. When the policy is surrendered, it either pays the face value death benefit (if you die) or the “cash value” of the policy. Often the “cash value” of your policy is determined by a fixed rate of return on your premium payments. After some initial period, you can borrow against the cash value of the policy. The premiums for whole life insurance are higher than for term life insurance.

Whole life insurance is also offered with some variations in premium payments and face value amount. Such variable plans can be called universal life insurance, variable life insurance, or other names.

Several factors are important when considering whole life insurance. You should clearly understand:

- When Cash Value Begins to Build — Often whole life insurance policies do not allocate much of your premium to begin building a significant cash value before you’ve paid into the policy for 10 years or more.

- Rate of Return — The rate at which your policy builds cash value is often below the rate you could get if you invested elsewhere.

You should carefully investigate both term life insurance and whole life insurance plans. It is often wise to consider buying a term life insurance policy and investing the excess of what the whole life insurance policy would cost. That way you would have the benefit of both life insurance and a higher rate of return on your investments.

Overall, you should evaluate your circumstances to determine if you need life insurance. If you need life insurance you should determine how much insurance is appropriate and the type of life insurance policy that would best meet your family’s needs.

Bob Sherman is the owner of http://www.bobshermancredit.com that provides information about credit, debt, wealth building, and other financial topics. His ebook, How to End Your Credit Card Debt, is offered free to subscribers of his Credit and Debt newsletter.

The two sides do not even agree about whether a person needs life insurance. Whole lifers say, yes. You do not want the death of a family member to disrupt your family’s finances or jeopardize its future. It is hard enough to adjust to the loss of a loved one. Adding financial difficulties exacerbates the problem. With the skyrocketing costs of funerals, even children and seniors should have at least a small life insurance policy.

Not so fast, say the term lifers. The only reason to have life insurance is to replace the lost income of a family member who dies, and then only when the spouse or family is dependent on that income. If you are single with no dependents and no debts that might be transferred to your family in the event you die, then you do not need life insurance. If you are married and your spouse works, you probably do not need life insurance, either, assuming your spouse makes enough to support himself or herself.

The time for life insurance, term lifers say, is when the policyholder’s income is vital to the financial security of the family. If, for example, you have purchased a home together and your spouse could not pay the mortgage and other bills by himself or herself, then life insurance is in order. If you have children, you will want to have enough life insurance to allow your family to maintain its lifestyle after you are gone. This includes not only meeting day-to-day expenses, but also being able to follow through with plans for higher education. Insurance professionals recommend buying a policy with a face value 5-10 times the breadwinner’s annual salary to help family meet expenses for a period of years.

Whole lifers see problems with the term-life scenario. The view it as overly optimistic, even naive. Many things can happen during the 20- to 30-year period covered by term life insurance policy that could extend the need for coverage beyond the policy’s end date. For example, children may be born mentally retarded, with severe autism, or with another serious condition that could prevent them from becoming independent when they reach adulthood. Children also can develop a disease or suffer an accident that disables them. A spouse, too, can become disabled. In these situations, the family will remain dependent on the breadwinner’s income long after the term life policy expires.

Term life insurance advocates point out that in such cases, the breadwinner can renew the term life insurance policy, or take out a new one. Now it’s the whole lifers’ turn to say, “Not so fast.” By the time the second term life insurance policy is needed, the breadwinner will likely be in his or her fifties or even sixties. Due to the age of the insured, the cost of a second term life insurance policy will be much higher than the cost of the first was.

With the added years come added risks of certain diseases. If the breadwinner is obese, has developed high blood pressure, a heart condition, diabetes, or another disease, the cost of the term life insurance policy will skyrocket. If the individual has developed cancer or AIDS, he or she may not be insurable at all. In such situations, the cost savings realized on the first term life policy could be wiped out by the high cost of a second term life policy.

By contrast, the premiums of a whole life policy are set for life and do not go up with age or medical condition. A whole life policy cannot be canceled due to medical conditions, either. The policy remains in force until death, as long as the premiums are paid.

“Until death” is another advantage of whole life, its advocates maintain. Whole life gets its name from the fact that it insures the policyholder life until death. As a result, whole life insurance is guaranteed to pay a death benefit-the amount the policy pays upon the death of the insured. The death benefit can be increased-at certain points at no additional cost-as the policyholder ages. A small policy designed to cover the funeral costs of a child can be increased to provide adequate coverage during an adult’s peak earning years. Whatever the death benefit or “face value” of the whole life policy, the insurance company guarantees to pay it. As a result, the policyholder or his or her beneficiaries always receive some, all, or more than the premiums paid into the policy.

This is not the case with a term life insurance policy, whole lifers point out. The term life insurance policyholder can pay premiums for 30 years, but if he or she outlives the policy-even by a day-then all of the premium money is gone. The only thing the policyholder will have received is 30 years worth of peace of mind.

Whole life insurance, by contrast, accumulates a value that the policyholder can access during his or her lifetime. This value is known as the cash value or the surrender value. The whole life policy holder can use the cash value as collateral for a loan, or even borrow some of it during his or her lifetime. The policyholder must pay this amount back. If he or she dies before it is paid back, then the unpaid amount is deducted from the death benefit. If the policyholder decides to cancel the policy, the insurance company will pay him or her the cash value, which is then known as the surrender value. Whole life, its proponents maintain, is not only insurance against death. It is an investment for life.

This is where the debate turns nasty. Term lifers often ridicule the investment features of whole life. Because whole life always pays a death benefit, it costs 5-10 times more than term life does. Term lifers argue that a person is much better off getting a term policy for the same face value that they would get a whole life policy, then saving and investing the difference in premiums. Almost any investment will return more than a whole life policy will, term lifer proponents maintain. Over 20 or 30 years, the difference can be vast. Buy insurance to insure, the term lifers say, and use the savings to invest.

Whole lifers respond that the return on a whole life policy is guaranteed at the outset, something than cannot be said for other investments. To earn greater rewards, the term life policyholder must take greater risks in the open market. Many investments will outperform whole life insurance, but not all will. Some investments lose money, as shareholders in World Com, Enron, Peregrine Systems, and many other companies can attest.

Even if the investment will pay out, it is not certain that the term life policyholder will actually make it. To do so, he or she must calculate the amount saved over whole life insurance; save that money every month, quarter, or year; research possible investments; and contribute to that investment regularly for 20 or 30 years. This makes sense for disciplined and savvy investors, but many others will find the endeavor daunting and time consuming. They may not start it, and if they do, they may not continue it. Whole life takes care of insurance, savings, and investment in one easy payment. Even if the returns on whole life are not great, saving something is better than saving nothing, and nothing is exactly how much many term life policyholders will end up saving.

Both whole life and term life have pros and cons. People who are financially savvy and disciplined will gain from the term life scenario. Those who need a convenient and simple mechanism for insurance and savings will benefit from whole life insurance. Deciding which is best for you requires an honest appraisal of your goals, your lifestyle, and your investing skills.

An award-winning author of books for young adults, Bradley Steffens is a frequent contributor to online and print publications, including Gig and Broker Agent Magazine. A copywriter with 25 years experience, he creates website content for health insurance, life insurance, and homeowner’s insurance professionals. His most recent book, Ibn al-Haytham: First Scientist, is the world’s first biography of the medieval Muslim scholar known in the West as Alhazen.

Accelerated Benefits

This insurance term is a provision in a life insurance policy allows someone diagnosed with a terminal illness to receive part of their death benefit early. It can also apply to someone who is permanently restricted to living in a nursing home.

Convertible Term Life Insurance

A convertible term life insurance policy allows you to convert to a different type of life insurance policy, such as whole life, without having to medically qualify.

Decreasing Term Life Insurance

A decreasing term life policy decreases by a set amount each year for the duration of the policy period.

Evidence Of Insurability

The medical information about you that a life insurance company uses to determine if you qualify for life insurance. This can also include other information about you such as financial and credit information.

Face Amount

This is the total amount of life insurance that will be paid upon the death of the insured to the beneficiary.

Grace Period

This insurance term describes the period of time after the due date for the premium on the policy that it can be paid without penalty. The standard grace period is 30 days, but each company may have different conditions.

Guaranteed Insurability

This is a life insurance option that allows the insured policyholder to buy additional amounts of life insurance in the future without having to medically qualify.

Insured

This is the person who is covered by the life insurance policy

Lapse

The insurance term that describes the discontinuance of the life insurance policy from not paying the required premium.

Level Term Life Insurance

This is a fixed amount of term life insurance that remains constant throughout the life of the policy.

Loan Value

The total amount that can be borrowed against the the life insurance policy.

Mortality Table

A table showing the statistical death rate for every age.

Paid Up Insurance

This life insurance term indicates a policy that is completely paid off with no further premiums due.

Premium

The cost for the life insurance policy. This may be on a monthly, quarterly, semi-annual, or yearly basis.

Rated Up Policy

A life insurance policy that is issued with a higher than normal premium due to the increased risk involved from the insureds health, hobbies, or employment category.

Reinstatement

Restoring a life insurance policy that was previously lapsed.

Settlement Option

The options given to the beneficiary in deciding how they wish to have the policy benefits paid out.

Surrender

This life insurance term is used when someone voluntarily cancels their policy for the cash value.

Term Life Insurance

A life insurance policy that provides coverage for a specified period of time.

Waiver Of Premium

A policy provision that provides a waiver of future premium payments due to the disability of the insured.

You can find out much more about Life Insurance [http://www.life-insurance.infofroma-z.com] as well as all other types of life insurance on our website at [http://www.life-insurance.infofroma-z.com].

For a long time the normal thing to do was to either call a life insurance agent who you knew or get in contact with one of the better known life insurance companies. You would set an appointment with an agent and proceed with your business from there.

The Internet has made things so much simpler. You no longer need to contact the insurance company or wait for an agent to come and see you. Anything can happen between the time you call them and the time you actually make the purchase. You, of course, could be dead by then but that is not the worse thing that could happen. The frightening fact is that you could be rendered disabled. This could come about by some ailment coming to light or it could be caused by some type of accident. If you are disabled you may be rated by the insurance company because you are disabled or your application could be declined by them.

You might decide you are going to take up a hazardous avocation like deep sea diving or automobile racing. These things can also cause you to get a rated policy or not get any insurance at all. Did you know that a student pilot is rated by most life insurance companies. Until you get to that level where you have sufficient hours in the air to make the insurance company feel comfortable about you life insurance can cost you more.

The beauty about todays world is that you can get your whole life insurance online quote and even buy your policy on the spot in many cases. Life insurance companies have been selling term life insurance on line for a while now. Whole life insurance is now also available.

As whole life insurance does more than term it is important that you take the time to look at how these policies work.

Death Benefit.

Your whole life insurance online quote will show you the cost for a particular amount that will be paid if you should die. You decide how much you want. One of the things that your whole life insurance online quotes will not show is that this money need not be paid in one lump sum. You can choose to have it paid in the form of a monthly income. If the amount of your policy is large a monthly income may be the best way to have the proceeds paid. Of course there are other factors that need your consideration before such a decision be made.

Cash Values And Dividends.

Whole life insurance policies provide you with cash values which can be enhanced by dividends, if the life insurance company earns a dividend. If in the future, for some reason, you decide you no longer have a need for your whole life policy you can surrender it to the life insurance company for it’s cash value. In the early years these cash values are less than you paid in but the older the policy gets the closer the surrender value comes to the amount you have paid in. Eventually your cash value plus your dividend can far exceed the premiums you paid into the policy. Please bear in mind, however, that dividends are not guaranteed.

The Premiums.

When you get your whole life insurance online quote you will notice that the premiums are much higher than those of a term life policy. There are many reasons for that. Separate and apart from the fact that you can get back a considerable portion of you premium upon surrender dividends can be used in other ways. You dividend can be used, as an alternative, to reduce premiums. As the years go by the same insurance will cost considerably less in premiums.

Paid Up Additions.

Your dividend can also be used to purchase what is known as paid up additions. These are small fully paid up whole life policies. Upon your death the actual amount paid to your loved ones will be more than you originally contracted for as a result.

Because the insurance companies are getting more comfortable with the idea of providing whole life insurance online quotes the best of these policies can be purchased instantly. One of the more encouraging conclusions is that the bigger and better life insurance companies are providing whole life insurance quotes online as well as selling actual policies online.

For additional details on whole life insurance online quotes go to: http://www.lifeinsurancehub.net/whole-life-insurance-online.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

Unfortunately as we age so does the cost of the life insurance policy. In order to obtain or keep cheap life insurance you may be required to reduce or eliminate some of your current life insurance coverage. Now with that said there are some very important decisions that need to be made because life isn’t always about cheap life insurance.

If your considering cheap life insurance or looking at ways to purchase cheaper life insurance rates you need to consider the reason your bought life insurance to begin with. If you’re still young enough where your children are in grade school or even high school and your spouse isn’t working then perhaps a cheaper life insurance policy isn’t the right thing for you. After all in the event of your untimely death the insurance proceeds will need to help your remaining family survivors live a decent life until such time as they can provide for themselves. Additionally the life insurance proceeds may be needed to pay off any unpaid debts you may have left behind.

On the other hand if your children are all grown up and moved out of the house and your spouse is working and capable of taking care of themselves then perhaps you should re-evaluate your current life insurance policy and see if there is a way to trim any unnecessary coverage amounts thereby lowering your total out of pocket cost and allowing you to have cheap life insurance.

Sometimes as your evaluating your estate and other monetary assets you may find that your life insurance policy can act as a hedge against any estate tax that will result in your passing on. In that case cheaper life insurance may not be the right answer since the proceeds will be needed to pay for the estate tax. In fact you may find that you’ll actually need to add additional life insurance in order to cover the estate tax involved with your possessions. This is especially true in cases where the estate is worth more then $500,000.

When considering cheap life insurance you must take into account the many functions that life insurance can assist your survivors with. For instance, it can be used to pay off a home mortgage or create a college fund for your children or grandchildren. It can be used as was previously mentioned to pay for any estate taxes and it can serve as a means of providing income for a surviving spouse and providing an inheritance for your children and grandchildren.

If your current situation does warrant or present you with the opportunity to purchase cheap life insurance then as you fill out the application needed to qualify for your lowered insurance rate make sure you answer the questions asked truthfully and accurately. Make sure to do your research with the Better Business Bureau in order to find out the claims history of your insurance company and if there are any prior customer complaints filed against the insurance provider. Remember you’re looking for cheaper life insurance not a cheap insurance provider.

As you do your research you will find that there are plenty of pros and cons for any insurance company you think about purchasing cheap life insurance from. There is no one single insurance policy that will cover all of your needs. Just remember the best type of insurance provider is the company that honors your insurance policy and pays the proceeds to your survivors when they are needed. Cheap life insurance or not, that’s the most important fact.

Timothy Gorman is a successful Webmaster and publisher of Best-Free-Insurance-Quotes.com. He provides more life insurance advice to include ways to find a cheap life insurance policy [http://www.best-free-insurance-quotes.com/life-insurance.html], that you can research in your pajamas on his website.

Most life insurance companies are reputable because of the strict regulations in Canada and throughout the world. The best way to get a good selection of life insurance most fitted to your needs in this day is to use the Internet. It could be quickly found out that Wawanesa Life is among best rating life insurance companies.

Wawanesa Life is a subsidiary company of the Wawanesa Mutual Insurance Co. Wawanesa has a rich history dating back to 1896, when it was founded in the Village of Wawanesa, Manitoba. Today executive offices are located in Winnipeg, Manitoba, Canada. Wawanesa Mutual operates in all areas of Canada as well as in the states of California and Oregon in U.S.A.

Wawanesa was awarded an A+ (Superior) Rating for its financial strength from A.M. Best Co. the world’s oldest and most authoritative insurance rating and information source. Some of Wawanesa traits are the out standing claims service and underwriting service, consistent range of quality products and among them:

Individual Products and Services

It should be noted that a vast array of life insurance policy types available consists of one of two basic forms: Permanent insurance and Term insurance.

As the names imply, permanent insurance is permanent for life and term insurance is temporary. Examples of permanent needs are funeral expenses, survivors’ income, taxes at death on capital gains and charitable bequests. Examples of temporary needs are mortgages, education and business loans.

Permanent Products

Types of permanent insurance plan:

Universal Life is a permanent insurance plan providing for separation of the insurance and savings components of the policy. All premiums are generally deposited to interest bearing investment accounts. From these accounts it is deducted Cost of Insurance (COI) charges and administration fees. Policyholders could direct premiums to different account choices, such as a Daily Interest Account, a Canadian Equity Index-Linked Account, a U.S. Equity Index-Linked Account, an International Equity Index Account and a Canadian Bond Index Account. It may be selected two COI charge methods by the policyholder. The charge may be level for policy’s life, or may be level (at a lower amount) up to age 65 with a following increase to a new higher amount for policy’s remainder.

The tax-free death benefit will consist of the death benefit provided by the insurance coverage selected plus the value of the different investment accounts. The Account Value, less a surrender charge in the early years, will be available to the policyholder upon surrender before the death of the life insured;

Term to Age 100 – this plan provides a level amount of permanent life insurance, to ago 100 of the life insured, at which time the face amount of insurance is paid.

Premiums are level and payable to age 100. This plan is also available on a joint-last to die basis;

Fifteen Pay Term to Age 100 plan provides a level amount of permanent life insurance to age 100 of the life insured, at which time the face amount of insurance is paid. All premiums are guaranteed, level and payable for 15 years only. Commencing in the 10 th year.

A guaranteed cash value will develop to be available to the policyholder upon surrender before the death of the life insured;

Twenty Pay Term to Age 100 plan provides a level amount of permanent life insurance to age 100 of the life insured, at which time the face amount of insurance is paid. All premiums are level and payable for 20 years only.

Commencing in the 10 th year a guaranteed cash value will develop to be available to the policyholder upon surrender before the death of the life insured;

Final Expense Plan is designed for individuals age 45 to 75. This permanent plan is a guaranteed issue with just 5 qualifying questions.

Premiums are level and payable for 20 years only. The death benefit in the first 2 years will be the return of paid premium plus 10 % interest to the death date. When death occurs it is paid the full protection. The death benefit amount is paid to the policyowner if living after the later of 20 years, or age 85.

Types of Temporary Products:

Life Style Term – these plans consist of 10 years or 20 years Renewable and Convertible Term Insurance. The insured sum is level and premiums are guaranteed.

Life Style Term can be renewed until age 80 of the life insured, at which time the insurance terminates. These plans are also available on a joint – first to die basis;

Preferred Underwriting of Life Style Term – these plans allow applicant to be grouped into a greater variety of lifestyle categories resulting in a more appropriate premium being charged. In the past, healthier applicants subsidized the insurance costs of less healthy ones. Life Style Term rewards better risks with lower premiums. Three nonsmoker classes and two smoker classes are included in Preferred Underwriting classes available for Life Style Term;

Lifestyle Adjustment Plan (critical illness protection) – this plan is designed to provide funds helping you care financially for yourself and your family maintaining the same quality of life after surviving a critical illness.

The plan provides a tax-free lump sum living benefit to the plan owner on the occurrence of the first of the covered illnesses of the insured, provided the insured survives the waiting period following the critical illness onset.

The waiting period is 30 days from diagnosis, except for Loss of Speech (6 months) and Paralysis (90 days). No living benefit is payable if cancer is diagnosed within 90 days of issue.

Three types of Life style Adjustment plans are available: 10 year Renewable to Age 75, Level to Age 75 and Level to age with Return of Premium.Wawanesa Life has a plan to meet any your insurance and financial needs which can be tailored fitting your needs.

Gregory Mamnya

Your Independent guide to Wawanesa Insurance.

Wawanesa Life Insurance, Auto Insurance, Property Insurance and more at Wawanesa Insurance website.

Term Life Insurance

The first thing to understand is that term life insurance is known as “pure” insurance. That means that term life is straight life insurance and does not build any cash value. You can buy this coverage for a certain amount of years, known as the “term,” and once the term is over you may either renew the policy for another set amount of time or simply walk away. The advantages of term life insurance is that it is the least expensive life insurance policy because it serves no other purpose other than to give your beneficiaries peace of mind knowing they are financially protected in the event of your untimely death. It is basic and to the point.

Universal Life Insurance

Universal life insurance is a type of permanent life insurance. Permanent life insurance policies offer death benefits and a “savings account.” Unlike term life policies, permanent policies build cash value. The advantage of buying a permanent type of life insurance is that if the insured outlives the initially established term, they will be reimbursed some of–often more than–the amount set on the original premium.

In addition, universal life insurance policies are known as the flexible policy because you are allowed to vary your life insurance premium payments as well as adjust the face value of your coverage. Keep in mind that you must maintain enough premium payments so that the cash value on your account does not drop below the charges against your account. The more you put into this account the higher your cash value will be for future use. Universal life policies will have higher life insurance rates because it also serves as an investment vehicle.

Choosing Between Term and Universal Life Insurance?

There are a few things to consider when deciding to choose between term life insurance and a universal or permanent life insurance policy. For example, term life insurance is really a good choice for those who may have limited funds and not many responsibilities. Usually younger people choose term life insurance because they have a lower risk of dying in the immediate future. Younger investors feel that they can have the best of both worlds: coverage for themselves and their young families while also being able to use the money they save on cheaper insurance for other investments or assets.

While term life insurance seems to be a relatively short period solution, permanent or universal life insurance coverage is more advantageous for those who have built more assets and accumulated more money. A universal life insurance policy can be tapped into as a retirement account to allow for “golden years” enjoyment.

The best thing to do is contact your financial advisor for current life insurance rates on both term and universal life. Your financial advisor can also assist you in deciding which life insurance policy would best suit your current needs as well as forecast what might be needed in the future.

Sharon Taylor writes informative articles for eQUOTE Life Insurance, a premier Internet resource for term life insurance, no-obligation quotes, and other helpful insurance resource information.

No Medical Life Insurance Quote – For real?

Quite often, you may see an ad for a no medical life insurance policy or a website offering no medical life insurance quotes. At first thought this may seem like it is a rip off or some kind of scam. However, it is actually quite possible for you to obtain no medical life insurance quotes if you do your insurance policy shopping online rather than searching in person to meet your life insurance needs. Finding the right quote is actually only a few clicks away when it comes to searching on the computer, but only if you take the time to make sure if you are the right type of person to pursue no medical life insurance or not. Does the need for no medical life insurance apply to you, and are you the right candidate for this type of insurance or not?

Shop for No Medical Life Insurance Quotes Online

Doing your shopping online for no medical life insurance quotes begins with completing an online application for your no medical life insurance quote. This will involve sharing information relating to your age, your gender and your health on a generalized basis. Once your answers have been completely assessed by online agents who work for the insurance provider website that you visited, they will be able to determine if you qualify for no medical life insurance or not. There is one thing that you should be aware of regarding no medical life insurance quotes. If the provider does not feel that you are young and healthy, or they believe that you have some kind of health issue or illness that needs to be addressed, you will more than likely not be approved for this type of insurance. This is not an attempt by the insurance provider to be unfair to you, but rather the insurance provider is trying to protect the company from risk that they view to be unnecessary.

Once you have found an insurance provider that does not require a medical examination online, the rest of the process is actually quite simple. Once you have received a reply from the insurance provider letting you know that your application for no medical life insurance has been approved, you can pay for your policy online. You can use a credit card and immediately able to print out the paperwork. It is important to tell the truth when applying for this type of insurance, however, if your insurance provider finds out that false information was given when applying for your no medical life insurance policy, you may find that it has been cancelled.

It is important for you to be an educated consumer when it comes to shopping for life insurance online. Even if you are eligible for no medical life insurance quotes, there are plenty of other considerations to make relating to choosing the right insurance policy. For example, will you seek permanent or standard life insurance, or temporary or term life insurance? Standard insurance coverage remains in effect until the insured person passes away. Term coverage on the other hand expires after a certain number of years.

Sharon Taylor is an expert life insurance writer and frequent contributor to eQUOTE Life Insurance. eQUOTE is a leading Internet resource for life insurance prices, quotes and comprehensive life insurance resource information.

Whether you’re buying term life insurance or whole life insurance, you’ll likely be asked to undergo a medical exam. These are typically performed by licensed paramedicals who are often independent contractors hired by the insurance company. They will schedule a visit to your home for the exam and bring all the necessary supplies. The life insurance company foots the bill for the exam.

Health questions

When you submit your completed application for your life insurance policy, your agent or life insurer will call a paramedical service to let them know you require an life insurance medical exam. The service will then contact you to arrange a convenient time and place. You must have the exam or your application won’t be processed.

The life insurer may still request an attending physician’s statement (APS) from your doctor, but you cannot have the life insurance medical exam done by your own physician.

In a basic exam, the paramedical will take your medical history (even though you’ve already supplied it on your application), height and weight, blood pressure, pulse, and blood and urine samples. Beyond that, tests will vary based on your age and policy amount.

For example, MetLife will order an in-home EKG for applicants age 50 and older who are applying for face amounts of at least $1 million. For applicants age 70 and older who are applying for $2 million policies and higher, MetLife forgoes the paramedical exam and requires an exam by an M.D. chosen by MetLife (not your own doctor). The doctor will ask the same medical questions as a paramedical and get your height, weight, blood pressure and pulse, plus do a brief medical exam such as listening to your heart.

Jacki Goldstein, Vice President of Life Underwriting at MetLife, emphasizes that this is not a comprehensive medical exam and does not include sensitive issues, such as a breast exam for women. Goldstein also stresses that the M.D. life insurance exam is not a substitute for good routine medical care.

When age and face amounts get higher, a treadmill test may be required. For example, MetLife requires treadmill tests for applicants who are at least 50 and applying for over $10 million in insurance or applicants 76 and older applying for $5 million or more.

If you’re applying for a low face value policy, you may not even be asked to do a paramedical exam. For example, if you’re age 40 and applying for $50,000 of life insurance, MetLife requires no specific tests or measurements. And for some cases, MetLife asks for a “simple paramed” exam, encompassing the basic measurements and blood and urine work but without the paramedical question list. Guidelines for tests will vary among life insurers.

What are They Looking For?

The life insurance company wants to know if you have any health condition that could shorten your life – which in turn affects the insurer’s risk and your policy premium. When samples of blood and urine are collected, the insurer tests for HIV, cholesterol and related lipids, liver or kidney disorder, diabetes, hepatitis, prostate specific antigen (PSA) and immune disorders. The urine sample might go through routine analysis, plus screening for certain medications, cocaine and other drugs.

Results go to the life insurer’s home office for an underwriter to review. You can usually send a written request if you want a copy of the results, and some insurers will automatically send you a copy of your lab work. If there’s anything of concern about the lab results, you would need to consult your own doctor. Goldstein says, “It’s not uncommon to have abnormalities that don’t mean anything.”

A life insurance underwriter then reviews your application and the results of your medical exam. They decide your life insurance rating, which sets your premium. If there are lingering questions about your health, they may request additional information or medical tests. In the very rare event you are unknowingly quite ill – chronically or terminally – your application would be declined and you would have to look for a high-risk carrier or one that offers guaranteed issue life insurance.

Don’t Let Your Life Insurance Premiums Go Up In Smoke

Smokers pay higher premiums for life insurance because of their higher mortality rate. If any nicotine shows up in your results, you’ll be considered a smoker. The test also detects nicotine from a transdermal patch.

After the Life Insurance Exam Results

If your test results correlate with the classification used for your original life insurance quote, you’ll have no problem getting that rate. If a medical problem is discovered, you might be offered a life insurance policy with a higher premium.

There are two types of risk ratings: “flat” ratings, sometimes called temporary flat extras, and “table” ratings. Underwriters assess health conditions based sophisticated table to determine how to rate certain health conditions.

For instance, an underwriter might apply a flat rating for a short period of time for a person who has just had surgery. On the other hand, a person with high-blood pressure could receive a table rating, which increases premiums by a set amount for the duration of the policy, depending on your medical condition and age. If you disagree with a rating you receive, contact your agent. Agents can find out if the rating can be revised based on supplemental medical tests to prove you qualify for a better rating.

Even if you end up declining the life insurance policy, your test results become part of your record in MIB Group’s database (formerly the Medical Information Bureau), a clearinghouse of medical information that insurers share which stores information for seven years after you apply for a life, health, disability income, long term care or critical illness insurance policy.

MIB is jointly owned by about 470 insurance companies. So, if you go shopping around for other term or whole life insurance policies, remember that your medical information is accessible to other insurers in the near future. Note that MIB’s database does not contain actual medical records but rather codes that represent medical conditions and tests, hazardous hobbies and even your bad driving record.

If you want to check your MIB file, or dispute information in it, you can obtain one free report annually at www.mib.com.

No Way, You Say?

Life insurance medical exams are really quite routine. But if you want to avoid a medical exam at all costs, you could buy a simplified issue life insurance policy, which requires only that you answer a few medical questions, or a guaranteed issue life insurance policy, which requires neither an exam nor questions.

Keep in mind, though, that if you’re in general good health, or even with a history of some health issues, you’ll likely get a much better rate by buying a life insurance policy that requires a medical exam.

Tips for a Better Life Insurance Medical Exam

Certain health conditions simply cannot be masked, but to obtain the best possible results, here are some recommendations:

Get a good night’s rest the night before your exam.
Don’t drink for at least eight hours before the exam.
Avoid coffee, tea or other caffeinated drinks such as soda for at least one hour prior to the exam.
Limit salt intake and high-cholesterol food 24 hours before your exam.
Don’t engage in strenuous physical activities 24 hours before the exam.

Source: Exam & Profile Services, Beaver Dam, Wisconsin

Amy Danise is a staff writer for http://www.Insure.com Visit Insure.com for a comprehensive array of comparative auto, life and health quotes, including a vast library of originally authored insurance articles and decision-making tools that are not available from any other single source. Insure.com is dedicated to providing impartial insurance information to consumers. Visitors can obtain instant insurance quotes from more than 200 leading insurers, achieve maximum savings and have the freedom to buy from any company shown.

First, you need to understand the basics of each type of insurance. Once you know that, consider how they will apply to you. What are your financial goals? Do you have other investment tools at work for you? Would a combination of strategies be your best option? Once we address a few of these questions, it will be much easier to determine which route will suit you and your family – term or whole life or even a combination of the two.

Defining Term Life

Term life insurance offers coverage to the policyholder for a specified length of time. Generally, this type of policy is bought with an objective in mind. For example, term life insurance is a popular option for individuals with limited income. It is also sought after by those with high, but short term insurance needs; entrepreneurs who wish to cover a business loan, or for personal family protection. While term life policies offer no cash value accumulation; they do provide for beneficiaries upon your death. The face value is usually collected tax free, assuming that all premiums are paid current.

The Advantages of Term Life

Term life insurance typically boasts low premiums. Given the lower premiums, many industry experts believe that term insurance provides the best insurance coverage per premium dollar. In addition, this type of policy does provide you with the coverage you need to meet all your short-term needs. A good example of such a need would be your mortgage.

Finally, term life insurance policies can also serve as a complement to your whole life insurance policy, should you opt to have both in place. Convertible term policies are available. These policies will enable you to convert your current term coverage to permanent life insurance at a later date, and generally a medical exam is not required.

The Disadvantage of Term Life

To truly determine what type of coverage is right for you, you must also consider the disadvantages or cons of term life insurance. The first thing to keep in mind is that coverage only lasts a pre-determined length of time. In addition, premiums will continue to climb as you age, or your death benefit will decrease. As stated above, there is no cash value accumulation.

You will also need to look to the future, by realizing that riders that are available with whole life insurance policies are not usually obtainable, and you may be unable to purchase additional coverage at a later date. Finally, term life is not typically available to seniors and these policies are not appropriate for paying estate taxes.

Defining Whole Life Insurance

Whole life insurance offers policyholders permanent and lifelong insurance coverage. Of course, this is assuming that you continue to pay your premium payments! The policy benefit typically remains the same over the course of time, and is payable to the beneficiary(s), upon the insured’s death.

Unlike term life insurance, whole life is designed to last over an extended period of time. Those wishing to cover permanent needs favor these types of policies. Permanent needs may include covering final expenses or contributing to a survivor’s nest egg. Whole life policies also present you with an opportunity to build cash value. This may become important later in life, if you are faced with unexpected costs. You can take a loan on your policy to cover major purchases or help finance that ‘rainy day’.

The Advantage of Whole Life Insurance

There are a number of advantages to consider. First, whole life insurance policies offer guaranteed protection for life, as long as you continue to meet your premiums. Premiums do not increase in direct correlation with age, and typically, your death benefit is tax-free.

In addition, whole life insurance offers low risk cash value accounts, and the cash may accumulate tax-deferred. In certain cases, you may be able to convert your cash value to an annuity or even opt to make tax-free loans of your cash value. Finally, many depend on a whole life insurance policy to provide their loved ones with the funds to pay for medical bills, final expenses and any remaining debt.

The Disadvantages of Whole Life Insurance

One of the major disadvantages associated with whole life insurance is the cost of premiums. Many find the high premiums to be a hindrance, and are unable to purchase the appropriate amount of protection. Following along that same thought, in order for a whole life insurance policy to be beneficial, you will have to maintain the policy for a considerable amount of time. You are unable to vary your monthly premium payments and the payment period time is lengthy.

Another disadvantage is that at the ‘end of the day’ the cash value of your policy may be less than your face value. This is one major reason that proponents of term life insurance encourage policyholders to buy a term policy and invest the difference. But we will touch more on that later.

There are two final points to consider when shopping your options. First, should you opt to take out a loan, the amount is deducted from the cash value or death benefit of the policy. In addition, you generally are unable to increase the amount of coverage at a later date.

What Type of Policy is Right for Me?

There are a few basic questions to ask yourself. First are your insurance needs permanent or temporary? Also, you must face the practical issue of premiums. Can you afford the high premiums associated with whole life insurance? Are you disciplined enough to, ‘buy term and invest the difference’? If you were faithful in putting your pennies in the piggy bank as a child, this may be a smart option. However, if you know that you will spend every extra dollar buying fabulous shoes or that amazing set of golf clubs – you will want to consider the ‘forced’ savings that whole life insurance provides.

There is always the option of a convertible term policy. Many find that it is an appropriate way to begin. Despite your choice, at the end of the day, you want to ensure that the type of coverage you opt for will help you build a strong and solid financial foundation for you and your family! Our last tip? Do not depend on either term or whole life insurance as your primary source of investment. Talk with a financial advisor regarding other options, such as 401Ks, IRAs, Stock Options, etc. You can never over prepare for the future.

Establishing his insurance career in 1985, Gary Stuart began from the ground up, building and cultivating an agency which specialized in several lines, including long term care, group health, disability, whole life insurance and more! In 2001, Gary translated his 15 years of experience in the industry to the development of his website which provides his customers with an opportunity to explore their insurance options. Gary sees education as the key element in purchasing a policy best suited to the needs of the individual. For more information, you can vist his site at: http://www.acculifeinsurance.com