Should I Get Whole Life Insurance or Term Life Insurance?
Reader’s Question:
Hi! I want to know what type of life insurance I’ll get – should I get whole life insurance or just term insurance. Can you tell me facts about the two so I’ll know what to get here in Seattle Washington WA?
Harry
Seattle, WA
Hi there Harry!
No problem. I can tell you the difference and the use of whole life and term insurance so you’ll know what suits you best.
Whole life insurance is also known as permanent insurance, as it is meant to last you for your whole life. For the policy to be enforced, you have to continuously pay premiums on and on to your life insurance provider in Seattle Washington WA. The good thing about this is that you aren’t just paying for money that your beneficiaries will receive in case you die. Because this is also an investment, you can also partake in the benefits. When the time comes that the insurance has accumulated enough cash value, you can actually loan out the money for a very small interest rate, and your policy is still enforced. This type of life insurance policy, however is quite expensive, but then if you can afford this – then why not?
On the other hand, term life insurance is an insurance policy in Seattle Washington WA that’s on a specified period. This is purely and only life insurance coverage. And the only time your dependents will get benefits is when you die during the term or period of the life insurance. When the insurance ends and you’re still living, you have nothing to gain. You may think that when that happens, you’ll have been paying for nothing – but it is really cheaper than whole life insurance. Another thing is that your dependents really don’t need to depend on you for your whole life; you can stop paying for your insurance policy or refuse to renew it once all your dependents are old enough to take care of their own.
So, in sum, you just have to consider a couple of points before deciding. Are you able to pay for your insurance for the rest of your life? Do you really need to get life insurance even if your kids will leave you soon? How long will it take for your dependents to be officially independent? Which can you afford? When you are able to answer these questions, you may be interested on one of the other type of insurance. You can actually look up at a couple of life insurance provider websites so you can look at free quotes in Washington WA. Simply type in your zip code on the space on this page.