Best Life Insurance Companies in Tucson

FAQs

• What benefits do Tucson residents gain from whole or permanent life insurance?

  Whole or permanent life insurance provides a consistent premium and death benefit throughout the policy's duration. Additionally, these policies have the potential to accumulate cash value, which can be accessed or borrowed by Tucson policyholders, similar to a savings account. The policy owners can use this cash for their financial needs during their lifetime.

• Why should Tucson citizens purchase juvenile whole-life insurance policies?

  A juvenile whole-life insurance policy provides lifelong coverage for minors and young adults residing in Tucson, and it ensures uninterrupted insurance protection. It secures the child's future insurability and financial stability, regardless of any future health conditions. It also builds cash value over time that can be accessed without incurring taxes and offers flexibility for various financial needs.

• How can small business owners in Tucson protect their interests through life insurance?

  Small business owners in Tucson can secure their interests with life insurance by setting up policies designed to finance a buy-sell agreement in the unfortunate event of a co-owner's passing. This arrangement guarantees that the surviving business owners will have the necessary financial resources to acquire the deceased owner's share of the company at a pre-established price. Additionally, this approach ensures that the business remains with the owners while providing financial support to the family of the deceased owner.

• What common exclusions should Tucson residents be aware of in their life insurance policies that limit the liability of insurers?

  Many life insurance policies in Tucson do not provide coverage for losses or damages resulting from war, suicide, or acts of terrorism. They also exclude coverage for fraud and incidents of civil unrest. Individuals need to thoroughly examine these factors before purchasing a policy. Life insurance policies are legally binding agreements that have terms outlining the limitations of insured events.

• Do single people in Tucson need life insurance?

  Life insurance holds significance for unmarried individuals in Tucson who bear the responsibility of providing financial assistance to their elderly parents or siblings. Additionally, life insurance helps those with substantial debts, such as student loans, credit card debt, or a mortgage, prevent the transfer of these obligations to their family members or estates upon their demise.

• Which is better, term or whole life insurance?

  Life insurance is a personal financial tool, so the right type of insurance for you depends on your goals and current situation. One of the main differences between term life insurance and whole life insurance is that term life insurance only covers you for a set period of time. Once you meet the premium payment requirements on a whole life plan, it covers you for the rest of your life. Whole life insurance also builds cash value, making it a potential investment. But whole life insurance is typically much more expensive than term life insurance.

• How much life insurance do I need?

  A common recommendation is purchasing life insurance that is equal to five times your current salary, or more. But you can also estimate how much life insurance you need by adding up your debts, annual expenses for dependents multiplied by the years you want to ensure support, and any other items you wish to cover, such as a future wedding or college tuition.

• How does life insurance work?

  The details of how life insurance works depend on your individual plan, but the basics are as follows: 

  • You pay a premium to purchase the insurance. Typically the premium is paid monthly, but it could be rolled into quarterly, bi-annual, or annual payments. 
  • As long as you are meeting or have met premium obligations, if you pass away, the insurance company makes the agreed-upon payment to the beneficiaries you designated. 
  • Beneficiaries usually have to provide the insurance company with a death certificate to receive their payments.

• How much is life insurance?

  The cost of life insurance ranges widely. Term life insurance can cost as little as a few dollars a day, and whole life insurance can cost thousands per month on the high end. Factors that impact the cost of your life insurance include whether you're choosing term life insurance or whole life insurance, your age, how much coverage you want, your overall health, and your gender.

• Is life insurance taxable?

  Life insurance proceeds are the funds paid via your plan to your beneficiaries if you pass away. These are also called death benefits. Typically, these are not considered income for taxes. If you take out cash value from a whole life insurance investment and the amount exceeds how much you paid in premiums, the difference may be considered taxable income.

  
  

• Can I buy health insurance that is not Obamacare?

  When people say "Obamacare insurance," they typically mean insurance within the health insurance marketplace. You can get health insurance outside of the marketplace by going through your employer, choosing COBRA coverage if you leave your job, or buying a short-term health insurance policy through an insurance agent. ACA-compliant plans meet all the benefits and coverage requirements of the Affordable Care Act. But you may be able to find supplemental or short-term coverage that simply provides peace of mind for major medical expenses.

• Can I buy health insurance anytime?

  To buy health insurance in the marketplace, you must purchase it within open or special enrollment periods. But you can purchase short-term coverage to bridge the gap between now and the next open enrollment period. These plans are meant to be used for less than a year. You can purchase them online or via insurance agents, but they may not be ACA-compliant.

• Who should buy supplemental health insurance?

  Supplemental health insurance is a product that helps cover the cost of services that your primary health insurance policy doesn't. One popular option is secondary insurance that helps cover some of the costs associated with high deductibles. Medicare supplemental insurance is also popular. Medicare doesn't cover everything, and older adults on a limited income can face large prescription or medical bills after Medicare pays. Supplemental insurance helps reduce those patient costs.