Best Life Insurance Companies in Bloomington

Frequently Asked Questions

• Does your credit history influence the price of life insurance in Bloomington?

  Yes, your credit history might impact your Bloomington life insurance premiums. Life insurance companies view a person with a solid credit history as mature and someone who fulfills their financial obligations. If you have a bankruptcy on your insurance record, your premium rates may increase. In addition, insurance firms may consider criminal background, driving record, occupation, and use of prescription drugs.

• Can you utilize your Bloomington whole life insurance policy's cash value for retirement expenses?

  To meet specific retirement needs, you may tap on the cash value of your whole life insurance coverage in Bloomington. For instance, it could be possible to change the cash value of your whole life insurance policy into a new policy with a long-term care rider without negative tax effects. You can withdraw the money tax-free as long as it is lower than the amount of money you paid into the insurance.

• What can you anticipate from the medical examination for your life insurance application in Bloomington?

  The medical expert will walk you through what is needed during the medical examination for your life insurance application in Bloomington, which may include getting your height and weight, blood pressure, heartbeat characteristics, blood and urine samples, lifestyle habits, and family medical history. Depending on the policy you select, your age, or the required level of coverage, there can be additional requirements.

• What can you do if a health risk causes your life insurance application in Bloomington to be denied?

  If a Bloomington life insurance company declined your application due to your health, you might look for a policy that doesn't need a medical exam. When there is an open enrollment period, you can also apply for life insurance through your workplace, as many of these plans don't call for a medical checkup. If you can wait, you could work on getting healthier and give it another go later.

• When a policyholder receives dividends from a life insurance policy in Bloomington, is the cash subject to taxation?

  In Bloomington, dividends from life insurance policies are typically not regarded as taxable income because they are frequently seen as a refund of previously paid premiums. However, dividends that are in excess of the entire premiums put into the insurance plan may be taxable.

• 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.