Best Life Insurance Companies in Union City

FAQs

• Should married couples in Union City get joint life insurance?

  A joint life insurance policy may be more cost-effective for married couples in Union City than getting two separate policies, as the risk is shared between two people. Couples can choose between two varieties of coverage: the first-to-die policy, which disburses the death benefit to the surviving spouse, and the second-to-die policy, which pays out the death benefit to beneficiaries upon the passing of both spouses.

• What happens if you live beyond your term life insurance in Union City?

  If you live beyond your Union City life insurance term, expect the death benefit to be forfeited. Also, there is no guarantee that your accumulated premium payments will be refunded unless you have acquired a "return of premium" rider. Contact your insurer without delay; they should be able to provide you with information on alternatives and fair estimates for obtaining new coverage.

• Do you only have to stop making payments to cancel your life insurance in Union City?

  No. Contacting your insurer is imperative, as proper cancellation of life insurance in Union City must adhere to the company's policy terms and penalties. Additionally, if you are making automated payments, you must inform your insurance company of your intentions to cancel the policy at the end of the term. Otherwise, you may face a sudden price increase that could be debited from your checking account without prior notice.

• Does being a smoker affect life insurance in Union City?

  Smokers will likely incur higher life insurance premiums in Union City to account for increased health risk and reduced life expectancy that insurance companies consider when setting premiums. Applicants must disclose tobacco use when applying for coverage, as dishonesty may result in policy termination, fraud charges, and claim denial. Moreover, policyholders may qualify for non-smoker status and more equitable rates if they quit smoking within a specific time period, either before or after applying for a policy.

• Does Union City deduct funds from salaries to pay for group life insurance?

  It depends. In Union City, the cost of group term life insurance is contingent on the benefits package provided by your employer. Typically, this type of policy is offered to members of an organization at no cost. If the workers opt for supplementary life insurance, they will bear the premiums, which will be deducted from their salaries.

• 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.