Best Life Insurance Companies in Columbia

FAQs

• What should you do when buying life insurance in Columbia?

  When buying life insurance in Columbia, you must determine the type of policies you need and choose the coverage type that suits you best. Do not purchase a policy unless it is not in your plan because it will add to your insurance premiums. Also, make sure to pay the company, not the agent.

• Where can you file a complaint against a life insurance service provider in Columbia?

  If you want to file a complaint against a life insurance company in Columbia, adjuster, broker, or agent, you must contact the South Carolina Department of Insurance Office of Consumer Services. The office is located at 1201 Main Street, Suite 1000. You can also file a complaint online on their official website.

• How would you know if you are qualified for life insurance in Columbia?

  In Columbia, younger and healthier individuals are more likely to qualify for life insurance. However, all insurance companies still require them to complete an application form or a medical examination. Their application will then be reviewed by underwriters to identify their risk classification and determine whether they are qualified for the insurance.

• What factors affect life insurance premiums in Columbia?

  In Columbia, the cost of life insurance policies depends on whether individuals choose term, whole, or universal life insurance. Most carriers also look for the policyholders' gender, age, and risk classification. Additionally, they need to know if clients are using tobacco, have health or medical histories, or do risky hobbies or jobs.

• When should individuals purchase life insurance in Columbia?

  Most insurance carriers advise individuals in Columbia to purchase life insurance while they are still young. If they start their life insurance early, they can keep their coverage for a long period of time, which means their policy will accumulate more interest. They are also healthier, which can help reduce their insurance rates.

• 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.