Life Insurance Articles

Some insurance companies offer life insurance policies without requiring the applicant to verify his or her insurability by taking a medical exam or even answer questions about medical status. These policies are called guaranteed issue or guaranteed acceptance life insurance. The various types ...

Level term life insurance is the most popular variant of term insurance. Term insurance is the oldest and least expensive form of life insurance. Like other forms, it provides a tax-free death benefit to one or more beneficiaries upon the death of the insured. Its most basic form is called ...

A return of premium term life insurance policy is an insurance contract in which the policyholder(s) will receive the aggregate value of all premiums paid at the end of the contract’s term, provided the insured does not die and the policy remains in force. Return of premium life insurance ...

Indexed universal life insurance is permanent life insurance that possesses the same features as universal life insurance but adds one additional feature – the investment performance within the cash account is tied to a financial index. Most often, the index will be based on equity ...

As the name implies, whole term life insurance is an insurance contract designed to remain in force for the whole life of the insured. It is the most basic form of permanent insurance. In addition to its guaranteed death benefit, whole life offers level lifetime premiums and a cash value that ...

Supplemental life insurance is additional insurance bought by a current policyholder. The purpose in acquiring additional insurance is to increase coverage, either because the insurance need has increased or because it has changed in scope. Supplemental life insurance will often be purchased ...

Universal life insurance is a form of permanent insurance that evolved out of the experience with whole-life insurance. The defining features of universal life insurance are flexibility of premiums and the death benefit. Most of this flexibility derives from the policyholder’s ability to use ...

Insurance is the practice of substituting cost for risk. This suggests that it is possible to insure almost any risk if sufficient cost is incurred. This is the underlying principle behind High Risk Life Insurance. People who engage in high-risk activities – whether as a vocation or avocation ...

Life insurance is provided by insurance companies to individuals who have a life insurance need. That need exists when the individual’s untimely death would cause significant financial hardship to others. The life insurance contract, or policy, guarantees that benefits lost due to the ...

Of the half-dozen major types of life insurance, the two oldest and most popular are term and whole life insurance. These two represent the two approaches or schools of thought in dealing with mortality risk. Understanding the difference between term and whole life insurance is vital to ...