Best Life Insurance Companies in Modesto

FAQs

• How can you determine the cost of life insurance in Modesto?

  To determine the cost of life insurance in Modesto, the underwriting process must be done. Insurance carriers will assess the risks that might be faced by the applicants. The life insurance premiums are based on whether they choose term, whole, and universal insurance, as well as their gender and age.

• In Modesto, can policyholders change their life insurance beneficiaries to someone other than their spouses or children?

  Yes, policyholders in Modesto can change their life insurance beneficiaries even if they are already married. Most insurance companies in California allow policyholders to change their beneficiaries anytime. The benefits spouses, children, and other beneficiaries will receive upon policyholders' death depend on coverage type and how much premiums were paid.

• In Modesto, will your spouse still be your life insurance beneficiary after your divorce?

  No, your ex-spouse will not be your life insurance beneficiary anymore after your divorce in Modesto. In California, non-probate assets, which include life insurance policies, are automatically revoked upon divorce. Other non-probate assets include qualified and non-qualified retirement plans, checking and savings accounts, mutual funds, annuities, and certificates of deposit.

• What should you consider when purchasing life insurance in Modesto?

  When purchasing life insurance in Modesto, you must acquire a policy 7 to 10 times your annual income. You should also determine how much debt will your loved ones have to pay in case you pass away. In addition, you must determine how much money you need to support your family's expenses in the future.

• Do you need to undergo medical examinations before getting life insurance in Modesto?

  Most of the time, carriers in Modesto require applicants to undergo medical examinations before getting life insurance to make sure that their health status is good. Their insurance rates depend on their health condition. If the results are not very favorable, then they might pay higher premiums or their application can be denied.

• 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.