Best Life Insurance Companies in Hesperia, CA

FAQs

• Can Hesperia policyholders withdraw money from their life insurance policy?

  All policyholders in Hesperia may withdraw money from their life insurance policy. However, people who borrow money against their life insurance may pay interest on top of the principal amount. In the event of the borrower's death prior to the due date, the amount shall be deducted from the beneficiary's death benefit.

• What happens to the policyholder's life insurance in Hesperia if they pass away within two years of the policy?

  In Hesperia, if a person dies during the first two years of the policy, the insurer will look into the application for fraud and deception before making a payout within the contestability period. If the life insurance company discovers deliberate misrepresentations in the application during the contestability period, it may be excused from paying the death benefit.

• Who can be assigned as a beneficiary for a life insurance policy in Hesperia?

  There are generally no restrictions preventing anyone from being designated as a beneficiary in a life insurance policy in Hesperia, provided there are no legal limitations. This applies regardless of whether the beneficiary has a personal relationship with the insured individual. A beneficiary may be an individual, a foundation, a trust, or an estate.

• When the insured in Hesperia passes away, would the funds be given to minor beneficiaries?

  The insurance proceeds may be paid to the legal guardian of the minor child's estate if the policyholder in Hesperia dies while their selected beneficiaries are still minors. The law states that children may not have access to any assets or life insurance proceeds until they reach the age of consent.

• What takes place if a person lies on a life insurance application in Hesperia?

  Insurers in Hesperia might refuse to cover the person in the future if they found out that someone had lied on their life insurance application. Additionally, there is a contestability period to punish those who withheld or lied about material facts that allowed them to benefit from cheaper premiums intended for applicants who were lower risk.

• 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.