Sentences with phrase «die life insurance policy so»

Not exact matches

Basically, someone with a terminal disease would sell his or her life insurance policy at a discount so they could have money to pay medical bills and what not and then when that individual died, the buyer would cash in the full amount of the policy.

Basically, someone with a terminal disease would sell his or her life insurance policy at a discount so they could have money to pay medical bills and what not and then when that individual died, the buyer would cash in the full amount of the policy.

That expiration date is one of the reasons term is the most affordable type of life insurance: You're more likely to die the older you get, so if an insurance company doesn't have to cover you while you're in your 70s and 80s — when you're more likely to pass away — it can offer cheaper policies.

Because the chances of dying from smoking - related causes is so prevalent, many life insurance companies in the U.S. charger higher rates to compensate them for the added risk of extending a policy.

For many, a hybrid policy is a great way to go because it covers life insurance and long term care, so either it pays out when you die or when you need help with long term care costs.

For example, if the husband is required to pay support, he may also be required to obtain a life insurance policy and name his spouse as irrevocable beneficiary of the policy so that if he dies, the spouse will have sufficient funds for his or her support.

You can make your children's future secure by buying a good life insurance policy so that they can have money to pay their fees if you die before the completion of their studies or to pay off their educational loans.

While life insurance companies frequently do not request medical and financial records from applicants before issuing a policy, they almost always do so when the insured dies within the contestability period.

You are correct about Texas being a community property state, so if your sister owns a life insurance policy and names you as the beneficiary, her husband could push to have half the benefit go to him when she dies.

It's what keeps your insurance policy active (or «in force») so the insurer will pay out if, in the case of life insurance, you die.

Since their growing family would be financially (and emotionally) devastated if Kim died, Kim and Jim decide to buy her a 30 - year term life insurance policy, so that Jim will still have the financial means to raise their kids and send them off to college.

For this reason, she has a life insurance policy that names her parents as trustees for the benefit of Joshua so if Lynda were to die, her parents could have the financial resources to provide Joshua with what he needs.

Having a life insurance policy can replace a lost income and help safeguard your family's plans for the future so that their dreams don't die when you do.

Life insurance is priced on how likely you are to die while a policy is in effect, so if you're older, ill, on certain meds, a smoker, etc. it's going to up your premium.

A joint life insurance policy is a possibility, but it's not really the best option because of the expense (it's usually a permanent policy, so it costs more than term life insurance) and it can get confusing when you get into the difference between first - to - die and second - to - die policies and what to do if there's a divorce.

That means that, before a company sells a life insurance policy, they need to know the likelihood of an applicant dying over the life of the policy so they can price the premiums accordingly.

If you're a grown child and your parents co-signed your student loans, they may take out a life insurance policy on you so they can cover that debt since it would transfer to them if you died.

A 25 - year - old in good health likely won't need to spend more than $ 50 or $ 60 or so a month to purchase a term life insurance policy that would pay out $ 1 million if you were to die in the next 25 years.

You know that will be difficult if you die in the meantime and your income is lost, so you buy a $ 200,000, 25 - year term life insurance policy.

So, if there is anyone else in the world that depends on you financially, you would need to have a life insurance policy in place that can not be canceled, that will last, and be IN FORCE when you die whether that's tomorrow or 25 years from now.

Accidental death benefit insurance is not usually included in a basic life insurance policy, so adding it to a standard policy as a rider will likely result in a somewhat higher premium; however, it will pay double the amount of the regular death benefit if the insured dies in an accident.

Rather than burden those who were so willing to help you in a time of need with this debt if you died, your life insurance policy proceeds can be the best way to say thank you in the end by relieving them of any obligation to pay the loans back on their own.

So, for example, if the death benefit of a life insurance policy that is owned by the insured has a death benefit of $ 500,000, then this amount will be included in the person's overall estate value when he or she dies.

You can use certain strategies so that to pull out funds from your variable universal life insurance policy before you die.

So, in plain English, let's define permanent as a life insurance policy that goes on until you die.

However, with term life insurance, the policy may expire before the insured person dies so there is a chance the company will retain all premiums.

For many, a hybrid policy is a great way to go because it covers life insurance and long term care, so either it pays out when you die or when you need help with long term care costs.

Term life is a very statistically informed bet by the insurance company that with a large enough group of clients, enough people will either outlive or cancel their policy before dying so that the insurance company overall makes money, even if they need to pay out a low percentage of claims.

In general, this type of insurance pays only if you die during the term of the policy, so the rate per thousand of death benefit is lower than for Whole Life or Permanent Life Iinsurance pays only if you die during the term of the policy, so the rate per thousand of death benefit is lower than for Whole Life or Permanent Life InsuranceInsurance.

So if you purchase a 20 - year term, $ 250,000 life insurance policy, and you die five years later, your beneficiaries would receive the $ 250,000.

So the good news here, in the context of your original question, is that dying with a life insurance policy with a loan does not create an income tax issue, because the loan is implicitly repaid from the tax - free death benefit of the insurance policy itself.

It's not all bad news because with most guaranteed accepted life insurance policies, the best final expense and burial insurance companies will generally have a policy whereby: Should the insured die from natural causes during the graded death benefit, most if not all of the paid premiums will be returned to the insured beneficiaries so it will be as though the insured didn't actually lose money by purchasing the policy and dying too soon!

A permanent life insurance policy can be used to: 1) Reduce estate taxes: The amount of premiums are deducted from your estate to reduce annual taxes, and 2) Cover estate taxes: Immediate tax free cash becomes available when you die so your beneficiaries can pay for both federal and state estate taxes without having to liquidate assets.

So, if you die as a result of an accident, your beneficiary would receive the death benefit from your term life insurance policy, as long as:

So, in simple terms, a life insurance policy protects a person from two risks — dying too young and living too long.

The reason why accidental death life insurance is so cheap is because there's very little likelihood that you'll actually die in a way that's covered by the policy.

NOTE: Some life insurance policies may apply exclusions for certain high risk activities, so if you died as a result of those excluded activities, there would not be a death benefit paid out on your life insurance policy.

Mortgage life insurance is a life insurance policy that one would take out on themselves or another person involved in a mortgage take out on a home or business so that if they should die the mortgage can be paid off.

So if you are twenty years old and take out a 20 year term life insurance policy, the insurance company knows what the exact % chance is that a person who more or less fits your description will die in the next 20 years.

Somewhere in that life insurance policy must be something written so small and obscurely that it can never be found by a mere human that excludes my family from being paid no matter how I die.

So for example, if you have a $ 300,000 life insurance policy, and you've been paying the expensive premiums of a whole life policy (which can be at least 5 times as expensive each month compared to a term policy) for years and years to accrue cash value, but then you die, your heirs only receive the $ 300,000 and the insurance company keeps the cash value you've built up.