Best Life Insurance Companies in Chino Hills

FAQs

• In Chino Hills, what is the consequence of outliving the period of a term life insurance policy?

  In Chino Hills, outliving the period in a term life insurance policy means that beneficiaries are no longer entitled to a payout once the insured dies. While these plans are cheaper than whole-life options, the consequence is that the coverage is temporary and ends the moment the term of the contract has elapsed.

• Is it possible to extend the effectiveness of a term life insurance policy in Chino Hills?

  Yes, it is possible in Chino Hills to extend the effectiveness of a term life insurance policy. There are insurers who allow the insured to add a new term on top of the original one. Another option is to convert the initial policy into a whole-life product that covers the insured's entire existence.

• What is the option fit for residents of Chino Hills who want to invest and be covered by life insurance?

  Residents of Chino Hills who wish to have an investment policy on top of life insurance may choose a variable life or universal life option. These products are permanent life insurance contracts that integrate an investment component that caters to those who wish to grow their money beyond the cash value.

• In a universal life insurance policy in Chino Hills, what are the pros and cons of adjustable premiums?

  Adjustable premiums in Chino Hills allow policyholders to pay lower premiums when times are lean and higher when income improves. However, this has the downside of affecting the death benefit when a person dies because this also changes downward or upward, depending on whether or not the insured is in a high or low-paying time.

• Why do insurers sometimes require a resident of Chino Hills to undergo a medical exam when applying for life insurance?

  Residents of Chino Hills may be required to undergo a medical exam when applying for life insurance because this affects the premiums due on the plan. Healthier people are entitled to lower premiums. There may be items in a person's health history that the insurer wishes to confirm to determine the applicant's well-being.

• 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.