Best Life Insurance Companies in Laredo

FAQs

• Who are the individuals in Laredo who will most benefit from life insurance?

  The individuals in Laredo who will most benefit from life insurance are those who are responsible for the support and well-being of others. People who have offspring, spouses, or other dependents may cushion the impact of an untimely passing by being insured.

• In Laredo, what is the difference between an insured party and the beneficiary of a life insurance policy?

  In Laredo, the insured party in a life insurance policy refers to the person who takes out the policy and upon whose death the release of payments is contingent. The beneficiary refers to the party who will receive the proceeds of the contract when the insured individual dies.

• How much life insurance should individuals in Laredo acquire?

  The amount of life insurance that a person in Laredo should acquire depends on how much money the insured needs later in life. The person should determine what financial obligations there will be in the long term and then subtract this value from the assets. The difference represents the amount the insurance policy must cover.

• What is the appropriate life insurance product in Laredo for those who wish to secure a college fund?

  The appropriate life insurance policy in Laredo for those who wish to secure a college fund is a term-life plan. This option is for a set amount of time and costs less than a whole-life one. The advantage is lower insurance premiums since there is no need to cover the years after the beneficiary is done with college.

• What is the remedy if a person wishes to cover an entire life after being on a term-life policy in Laredo?

  Insured parties in Laredo have the option of converting a term life insurance policy into a whole-life one should there be a need for more extensive coverage. The insured just has to be wary of the resulting changes in premiums due and the imposition of fees required for the conversion.

• 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.