Life Insurance

From the good, such as a healthy and financially secure retirement, to the bad, such as disability or death, planning for future events for your family or business is never easy.  The proper use of life insurance, disability insurance and annuities can help make navigating life’s eventualities somewhat more straightforward.

Life Insurance provides for a payment of a sum of money upon the death of the insured. In addition, life insurance can be used as a means of investment or saving.  Types of Life Insurance include:  

Term Insurance - Term policies provide life insurance for a specified period of time, usually 10 to 30 years.  A death benefit is paid to the insured’s beneficiary during the time the policy is in force but there is no accrued cash value.  A newer form of term life insurance is called Return of Premium Term (ROP) Insurance.  In this type of policy, if an insured pays all of the required premiums over a specific time period, the person can then receive all of his or her money back.

Unlike Term insurance, Ordinary and Universal Life Insurance policies can accumulate cash value.  Cash value, as defined in a life insurance policy, is the amount of money for which the policy may be cashed in, or which, alternatively, may be borrowed from the insurance company.

Ordinary or Whole Life Insurance - Ordinary life insurance provides a build-up of current or cash value as well as a death benefit.  Ordinary life insurance has guaranteed premiums and death benefits, and a minimum interest rate, which is credited to the funds accumulated in the policy. On some policies, higher interest rates may also be available.

Universal Life Insurance - Universal Life differs from ordinary life insurance in that it allows the policy owner to vary, within specific limits, the amount and timing of premium payments and the death benefit. Cash values are accumulated by crediting premium payments and interest to a fund from which deductions are made for the expenses and cost of the insurance.

Disability Insurance provides a portion of income lost as the result of a total or partial disability caused by either an accident or an illness.  Benefits vary depending upon the type and terms of the policy.

Annuities provide fixed or variable payment to an annuitant, either immediately or at a future date.  An immediate annuity is an annuity which is usually purchased with a single payment and which begins to pay out right away.  A deferred annuity begins payments to an annuitant after a specified period of time has elapsed.

Let Woodbury Insurance Agency assist you in reviewing and implementing all your personal and business coverage.  By reviewing all your family and/or business needs to be certain that you will have financial independence in your later years and peace of mind that your family and business are secure.