Life Insurance FAQ's

Find Life Insurance

Life Insurance FAQ's

What is Term life insurance?
Term life insurance is life insurance coverage at a guaranteed rate for a specified period of time. (Example: 10 year level term would guarantee a level premium for 10 years based on a specified death benefit) Term life insurance is usually the least expensive form of life coverage.

What is Universal Life Insurance?
Universal life insurance is a flexible premium policy under which the policy owner may adjust the death benefit from time to time and vary the amount or timing of premium payments given specified limitations. Premiums are credited to a policy account from which mortality charges are deducted and to which interest is credited based on short term interest rates. This crediting usually allows some cash value build up in the policy.

What is Whole Life Insurance?
Whole life insurance is a permanent type of life insurance coverage that can provide lifetime protection at a level premium. Premiums must generally be paid as long as the policy is in force.

What is Variable Life Insurance?
Life insurance under which the benefits relate to the value of assets behind the contract at the time the benefit is paid. The assets fluctuate according to the investment experience of funds managed by the life insurance company. Premium payments may be fixed as to timing and amount (scheduled premium variable life) or subject to change by the policy holder (flexible premium variable life).

How do I apply for Life Insurance?
Start by simply filling out the Life Quote Request Form.

Will I need a medical exam to qualify?
An exam is required. It will be done at the expense of the insurance company, at a time and place convenient for you - right in your home or office. The exam is conducted by a licensed paramedic or medical doctor, and generally involves a blood test, urine specimen, blood pressure reading, height and weight measurement, and a series of questions about your health history. The entire process will take about 20-30 minutes.

What about coverage on my spouse and/or children?
Most families have coverage on both spouses. There are many financial pressures on a family after the loss of either parent. Beyond the obvious final expenses, the financial strain on a family after the loss of a spouse can be significant, even if the deceased spouse wasn't working. Often the surviving spouse will take time off work, or change jobs in order to spend more time with the children. Coverage for children is also available to cover final expenses and/or to guarantee insurability for the child’s future.

What is the difference between standard and preferred rates, and how do I qualify for preferred rates?
Although the qualifications for preferred rates vary from company to company, generally you must be in excellent overall health. There are strict limits on height, weight, cholesterol, blood pressure, and you must not have a history of any significant health impairments. You also cannot use tobacco in any form. You must have no history of drug or alcohol abuse, and you cannot be engaged in any hazardous activities. The specific criteria for preferred rates differ widely among the various insurance companies, and it is not uncommon for an individual to be classified as standard at one company and preferred at another.

What if I smoke cigarettes?
Rates for smokers are higher than for non-smokers. In order to qualify for non-smoker rates, most life insurance companies require that you be smoke-free for at least one year; some require longer periods.

What about other tobacco use?
Most insurance companies treat all tobacco use including Cigars, Pipes and Chewing Tobacco in the same category as cigarettes. However certain companies allow pipe, cigar, and chewing tobacco to qualify as non-smokers. This one difference alone can save you up to 50% on your premiums.

Life Insurance Quotes

Notice to Consumers.