Best Life Insurance Companies in Plano

FAQs

• Is it possible to use an active life insurance policy to cover the repayment of an unsettled mortgage loan in Plano?

  Yes. An active policy in Plano, whether it's cash value life insurance or term life insurance, has multiple uses, one of which is to cover the remaining mortgage loan balance if the insured passes away. Lenders might suggest a mortgage protection term policy to you, but they hardly ever demand one.

• Is it advisable to purchase credit life insurance in Plano?

  It is normally not advised to get credit life insurance in Plano if you already have enough life insurance to cover all of your financial responsibilities, including paying off debts. This is because credit life insurance often comes with a higher price tag than standard term life insurance.

• What is the importance of an individual life insurance in Plano?

  Having individual life insurance in Plano is important because it can:

  • Cover tax obligations.
  • Be used to contribute to charitable causes.
  • Help with funeral and burial costs.
  • Provide essential income for your dependents when you pass away.
  • Serve as an inheritance, even if you don't have significant assets to leave to your beneficiaries.

• What factors should you consider when seeking a term life policy in Plano?

  Search for term life policies offering guaranteed renewability in Plano, allowing you to extend your coverage after the initial rate guarantee without requiring a medical exam. This can be essential for your family if you fall ill and are unable to obtain insurance toward the conclusion of the initial premium guarantee period. Furthermore, seek a policy with a valuable conversion option and dependable permanent policies that can be used for conversion.

• Is it possible to change your life insurance policy in Plano?

  Yes. In Plano, you can typically modify your life insurance coverage as needed. Depending on the policy type, you can adjust the coverage amount, possibly increase or decrease it, following underwriting regulations. Term insurance policies also frequently have a convertibility option, whereas permanent insurance can be converted from term insurance without the requirement for underwriting. By contacting the carrier and requesting the necessary paperwork, changes can be made at any moment to the beneficiary, ownership, or address.

• 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.