Best Type of Life Insurance for You
Filed under: Life insurance leads, Washington Life Insurance
Reader’s Question:
Hi, I would like to get a life insurance here in Washington with my parents as beneficiaries. However, I don’t want to waste money on premiums, which is certain if I happen to outlive my paying period. Is there a life insurance product that will meet my immediate needs?
Stuart
Bellevue, WA
Stuart, I got good news for you. You may avail of what’s buzzing in the market now regarding life insurance products. There is now a life insurance product that will return all premium payments you made at the end of your paying period or term.
Basically, this type of life insurance is called term life insurance because you will have a term of 15, 20 or 30 years. This is definitely cheaper than getting whole life insurance policy. However, total return of premiums paid is only applicable if you were able to finish the term, no matter how short or long you chose it to be. For example, you chose a 30-year policy. You will be compelled to pay a certain amount for 30 years as your premium. At the end of 30 years, all payments you have made will be returned to you down to the last centavo. In effect, the premiums you are paying are actually becoming your savings, and on top of the coverage you will get for thirty years, it is also tax-free.
And should you decide to terminate the contract before the 30-year term, you will still get a partial return of premium. The longer you have the policy enforced, the larger the amount that will be returned to you.
So, Stuart, I won’t keep you long now. When you call your agent in Washington, ask him about a policy called Return of Premium Life Insurance or ROP Term.