PROTECTING A LIFE – WHAT IS LIFE INSURANCE, AND HOW DOES IT WORK?
Are you searching for a good Minnesota Life Insurance Company offering affordable pricing and options? Welcome to Insuring Minnesota, where we have been helping families find the best life insurance for generations. Our financial professional will answer your questions about life insurance and how it works.
Let us provide some of the basics here. Life insurance can provide your family with financial protection and peace of mind. It’s a contract between you and a Minnesota life insurance company that will pay a lump sum of money to your beneficiaries if you die. The lump sum of money is also known as the death benefit.
Your beneficiaries and use the death benefit for whatever they wish. Generally speaking, the proceeds from a life insurance policy in Minnesota are tax-free and not considered in your gross income. If you were to receive interest, this is taxable.
Let us help you find an option that is best for you. Reach out to our office at 952-469-0425 or complete our simple online form for a life insurance quote today.
WHAT ARE THE DIFFERENT TYPES OF LIFE INSURANCE? HERE ARE THE 4 TYPES OF POLICIES MINNESOTA INSURANCE COMPANIES WRITE:
- Term Life Insurance – Term insurance is the cheapest, most affordable type of insurance, and it is straightforward to understand. Employer’s life insurance is term insurance because it is just insurance with no other bells and whistles. It is also commonly used as mortgage insurance for paying off the house if a spouse dies. Term insurance is what the name implies; it is for a specific time. Examples are annual renewable term, 10, 15, 20, 25 30 year term. If the insured dies during the “term,” their beneficiaries are paid the money or death benefit. The life claim will be denied if the insured dies after the policy term. Term insurance, some people say, is designed to expire before you do, thus the low cost.
- Whole Life Insurance – Whole life is permanent coverage, designed to cover you for life or age 100, and it is insurance and an investment component. The insurance part provides a predetermined amount to beneficiaries upon death, and the investment component allows a cash value to build over time to borrow against or cash out. Many different things can happen with a whole life insurance policy. It can be used for funding after the death of a breadwinner, paying off mortgages, liquidating business debts, paying off a business partner’s spouse. Whole life is more expensive than term insurance because it can go to age 100.
- Universal Life Insurance – Universal life has life qualities like affordable term insurance and a cash value that accumulates over time. However, it also offers more flexible premiums and tax-deferred growth while interest accrues. The premiums paid each month contain part life premium, and the rest goes into the cash value. As the whole life policy, the insured can take loans from the cash value for various personal needs. The life insurance death benefit is tax-free to the beneficiary, unlike the cash value if chosen
- Variable Life Insurance – Variable life is permanent life protection, but the cash value is invested and divided into sub-accounts. Not all agents can sell variable life because, like mutual funds, it is invested. Like the other two permanent life policies above, the cash value accrues tax-free. Again like all life policies, the proceeds may pay off debts and other expenses. Life protection can give families that great feeling of financial security.
HOW MUCH DOES LIFE INSURANCE COST?
Life insurance costs can vary based on your situation. Life insurance companies used numerous things to determine the price, such as gender, age, height, weight, blood pressure, smoking, and medical history—your occupation, hobbies, and any specific medical conditions.
HOW MUCH LIFE INSURANCE DO I NEED?
The amount of life insurance you need is based on a number of different factors. It starts by looking at your current financial needs and what resources you have at hand. Items like the salary your looking to replace, mortgage balance, college funding, funeral costs, all debts, and even daycare costs should be considered. Using a life insurance calculator can also be of assistance.
WHY CHOOSE INSURING MINNESOTA AS YOUR AGENT FOR LIFE? LET’S FIND YOU A MINNESOTA LIFE INSURANCE COMPANY AND THE BEST POLICY.
Choose us because we are honest experienced and will help you find the right Minnesota life insurance company and policy for your specific needs. Having a professional life agent on your side makes all the difference in the world. Tell us about your needs; we are listening.
Choose us because we are local, right here in Lakeville, Minnesota.
Choose us to make sure all the paperwork is accurate. Your customized life policy will meet your needs.
Choose us because we are there at the end to help your beneficiaries file the claim and walk them through the steps, one by one.
IT IS UP TO YOU TO TAKE THE NEXT STEP NOW – NO PRESSURE HERE OR PUSHY AGENTS
Please take the next step and contact our local office. Let us help you find the best life policy for you. We will give you the options, answer your questions, make recommendations, and then let you decide.
No Pressure – No Hassle – No Problems
We want you to understand what you are buying as this is a significant decision. Thank you in advance for your trust and business.
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