Best Life Insurance Companies in Lewisville

FAQs

• Can Lewisville residents with diabetes purchase conventional life insurance policies?

  Lewisville residents with diabetes are eligible for conventional life insurance plans, but to qualify for coverage, individuals might have to pass a medical examination, supply thorough medical records, and show that they are managing their diabetes. A person with diabetes must have diabetes management control, routinely test blood sugar levels, lead a healthy lifestyle, and produce thorough medical records to increase their chances of receiving life insurance coverage.

• Is life insurance available to Lewisville alcoholics in recovery?

  In Lewisville, life insurance is available to alcoholics in recovery. Many insurance firms offer coverage designed expressly for those in recovery, although it could necessitate extra considerations and processes. Due to their prior alcohol use, recovering alcoholics may have to pay higher premiums, but this still depends on a number of variables, including their general health, the length of their abstinence, and their unique circumstances.

• Can Lewisville life insurance premiums be claimed as a personal cost on your taxes?

  In Lewisville, life insurance premiums are typically not tax-deductible as a personal cost because the IRS views it as a personal benefit. Although most life insurance premiums are not tax deductible, there are some life insurance plans that have tax advantages. For instance, a cash value component that increases tax-deferred is available in variable, whole, and universal life insurance plans.

• How is the cash surrender value of a life insurance policy in Lewisville calculated?

  The number of years a life insurance policy has been in effect, the total premiums paid, the investment performance of the policy, and any surrender fees or charges related to the policy are all factors that affect the cash surrender value of a life insurance plan in Lewisville. The insurance provider determines the precise cash surrender value using policy provisions and actuarial calculations.

• Why is the incontestability clause typically included in a Lewisville life insurance policy?

  The incontestability clause in a life insurance plan in Lewisville safeguards the policyholder by stopping the insurance provider from nullifying or terminating the coverage due to inaccuracies or errors on the policyholder's part after a predetermined period, usually two to three years. In most life insurance plans, the incontestability clause is standard, but there are policies wherein it is waived.

• 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.