Best Life Insurance Companies in Newport News

FAQs

• Can life insurance policy beneficiaries be contested in Newport News?

  Yes. In Newport News, life insurance policies allow you to challenge the designated beneficiary if you can provide evidence of errors or fraudulent activities. These include mistakes in beneficiary designation, contests by the policyholder, disputes by the named beneficiary, changes resulting from separation or divorce, or naming a minor as the beneficiary.

• Is there a state-mandated free look period for life insurance policies in Newport News?

  Yes. There is a state-required free-look period for life insurance policies in Newport News. During this period, which lasts thirty days from the date you receive the policy, you can cancel and get a refund if you are unsatisfied with it for any reason. It's important to note that once the policy is mailed or delivered back to the insurer following this notice, it becomes void.

• Are life insurance benefits taxable in Newport News?

  In Newport News, life insurance benefits paid due to the insured's death are not subject to federal or state taxation following IRC § 101. However, you should be aware that IRC § 72 stipulates that a portion of death benefits from annuities, including life insurance contracts, may be subject to taxation.

• What happens if you outlive your term life insurance policy in Newport News?

  If you live beyond the term of your life insurance policy in Newport News, your coverage will terminate, and you no longer need to continue paying premiums. However, in this case, your beneficiaries will not receive any death benefit from the policy. Some term life insurance policies provide the opportunity to renew or convert the policy into a permanent one. You can consult your insurance provider to understand your policy's terms.

• What happens to your life insurance policy in Newport News if you move out of Virginia?

  If you move away from Newport News, your life insurance premiums will not change based on your new location within the country. However, life insurance companies are governed by state-specific regulations, meaning that rules regarding the free look period, late payments, and insolvency may differ across states. Furthermore, states may have specific laws regarding beneficiary designations, and not all types of life insurance policies are available in every state.

• 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.