The Types of Life Insurance in Newark, DE
There are many types of insurance, but they all exist to serve the same purpose—to offer protection for the person who purchases it.
At Broadbent Insurance, Inc., it’s our business to know all about the various forms of coverage and policies that exist. We’re going to discuss life insurance in Newark, DE, in this post, so you have the information you need to make the best decision when purchasing a policy.
As you will have guessed from the title, there are many different varieties of life insurance. We’ll list them here with a bit of information about each.
Term – This provides temporary coverage for a limited amount of time. It’s affordable and helps surviving loved ones with debt and expenses.
Whole – Offers lifetime coverage and provides a death benefit for the entire life of the policyholder. It cannot be canceled by the company as long as premiums are paid.
Universal – Similar to whole life insurance, it provides lifetime coverage with flexible premiums. The cash which accrues can be accessed through loans, withdrawals, or surrendering the policy.
Variable – The difference between this and traditional permanent insurance is that the cash value earns interest based on investments.
Simplified – This is an insurance product that simplifies the underwriting process by removing the medical exam requirement.
Guaranteed – It’s similar to simplified with no medical underwriting. The maximum coverage is lower, and there’s a two-year period before the full death benefit is paid.
Final – This policy is purchased to pay final expenses that will be left by the insured.
Group – Generally available through an employer and large associations. They are considered guaranteed and are not portable. Once you leave the employer, the policy is canceled.