Best Life Insurance Companies in Cary

FAQs

• Why is it advisable for the residents of Cary to get disability insurance?

  Disability insurance is recommended in Cary because it is a subset of life insurance that protects insured parties if they become unable to work. It is impossible to predict whether a person will ever lose the ability to work and it is preferable to be covered by insurance in the event of an accident on the job.

• What is the estate tax implication of a second-to-die policy in Cary?

  A second-to-die policy in Cary postpones the due date of the estate tax payment to the day when both spouses die, rather than just the first. The proceeds of the policy will also be used to pay the government, eliminating the need to liquidate and sell the insured's material assets.

• What happens when the period in a term life insurance acquired in Cary ends?

  If the term or period in a Cary term life insurance policy expires, the insured receives no proceeds because the latter will only be released if the former dies before the specified time elapses. Policies can be renewed or converted into permanent life insurance to cover you for the rest of your life.

• If a permanent life insurance policy is canceled in Cary, does the insured receive nothing?

  If a permanent life insurance policy in Cary is canceled, the death benefit will no longer go to the insured. But the person is still able to get the cash value of the policy at the time it was canceled. This is about the part of the life insurance contract that deals with savings.

• When is it preferable in Cary to choose term life insurance over permanent life insurance and vice-versa?

  In Cary, term life insurance is preferable if the insured does not require protection for a lifetime, such as when the goal is to see a child through college and provide a safety cushion in the event of death. Permanent life insurance is beneficial if the insured wishes to be covered in the long term and has estate planning concerns.

• 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.