What Are Your Life Insurance Needs?

Author: Jill

Do you need life insurance? If you bring home a paycheck through employment or business ownership, your family might be hard-pressed to meet living expenses without your income. Or, if you are a stay-at-home parent, many of the contributions you make are not accounted for like caring for children, housekeeping, errands, etc. Salary.com created a mom salary calculator to help families determine how much the stay-at-home parent's salary is really worth. You'd be surprised to know that a stay-at-home parent with two children has an annual median salary that equated to more than $122,000.

If you are business owner, you need to plan ahead for a smooth business transfer of your interest in the business. You may want to pass the interest along to another family member, or you may want to have your investment transferred to your loved ones.

Life Insurance can provide funds to help cover all of these expenses and more. So where do you start? You can start by contacting an Allstate Agent for help, or you can learn more about the basic types of life insurance: Term Life Insurance and Permanent Life Insurance.

Term Life Insurance
Term Life Insurance offers basic protection with level premiums for a fixed span of time, typically from ten to 30 years. You simply pay premiums for this period of time and you're covered. Learn more about Term Life Insurance or get a Term Life Insurance quote now.

Permanent Life Insurance
Permanent Life Insurance is designed to provide a cash value and can be either fixed or variable.

Permanent Non-Registered Life Insurance Protection options:
Universal Life
Universal Life insurance is permanent life insurance that gives you flexibility. For example:
After selecting an initial premium and death benefit amount, you can decide when and how much you want to pay into your policy. You can increase payments to build additional cash value, decrease the death benefit amount, decrease payments or even skip payments as long as your cash value is adequate to cover the cost of insurance charges and other policy related expenses.

Permanent Variable Life Insurance Protection:
The Variable Life insurance option is similar to universal life insurance, but instead of your cash value growing at a fixed interest rate, you can choose to purchase a variable policy which may increase or decrease in value.

Variable Life Insurance benefits include:

• The option of investing your premiums in a wide range of variable sub-accounts. Many variable life policies allow you to allocate funds among a range of variable subaccounts ranging from conservative to aggressive.
• Your death benefit remains protected as long as you meet the conditions stated in your policy.
• In many variable life policies, after paying the initial premium, you decide when and how much you want to pay into the policy, as long as there is sufficient net surrender value to pay the cost of insurance charges and other policy related expenses.
• In many variable life policies, you can increase or decrease your death benefit amount without buying a new policy (subject to additional terms and conditions).
• Your cash value growth increases or decreases depending upon the terms of the variable policy and on the performance of your selected variable subaccounts.
  

For more information, please visit: http://myallstatefinancial.com/

About the Author:

Jill Devaney is an Advocate of Allstate Insurance

Article Source: ArticlesBase.com - What Are Your Life Insurance Needs?