Best Life Insurance Companies in Westminster

Frequently Asked Questions

• How does a term life policy differ from a permanent one in Westminster?

  A term life policy in Westminster is one that covers a portion of the life of the insured and generally has no living benefits or cash value. A permanent life insurance plan covers the entire life of the insured and has living benefits or cash value. The consequence of the added coverage is that premiums cost more.

• Is it safe in Westminster to stay on the same policy without reviewing it?

  It might be safe in Westminster to stay on the same policy without review, but it is better to review the plan every year or whenever there is a major life event. A person may need to change beneficiaries and coverages when the circumstances of life change, like when getting divorced.

• What are group life insurance policies in Westminster?

  Group life insurance policies in Westminster are products meant for employers who wish to cover the lives of multiple employees in the business. The coverage is basic and paid for by the company leadership, while each employee may buy additional protection on their own individual basis.

• In Westminster, what differentiates the beneficiary from the insured in a life insurance policy?

  In Westminster, a beneficiary is a person who receives the proceeds of a life insurance policy if the contingency in an insurance policy is triggered. The insured is the person upon whose death the distribution of proceeds is contingent. It is possible in some insurance policies for the beneficiary and insured to be the same person.

• Why do life insurance applicants in Westminster undergo medical exams?

  A medical exam in Westminster is used to determine the overall state of health of the insured. This is vital because the healthier someone is, the cheaper life insurance premiums will be. Insurers prefer to insure those who will live a long time because the odds of paying out early are lower the later the insured dies.

• 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.