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Phone: (480) 229-6220
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"Life insurance is not for you. It's for those you love."
Insurance - Life
The worst thing that can happen to a family is losing a parent. Luckily, a pool of income is easy and cheap to create using term life insurance.

Term insurance provides for children and dependent spouses until they are self-supportive.

It is the difference between relying on the state or relatives for financial help or quickly eliminating worries and struggles for your loved ones.

The insurance company almost always provides the family with the benefit within 14 days.

The benefit can be used to cover:
  • A mortgage
  • A lost salary
  • The costs of daycare
  • Higher education expenses.

    • The basics of term insurance:
    • Level term insurance premiums are very inexpensive compared to other types of life insurance because it builds no cash value.
    • Level term insurance premiums do not increase annually through the duration of the specified term, typically 5, 10, 15, 20, 25 or 30 years.
    How much life insurance is needed?

    Example 1:
    The Smiths refinance for a 30-year, $180,000 mortgage. The wife's income is used for expenses and the husband's income pays the mortgage. The couple purchases $180,000 30-year level term policies for each spouse. The couple could consider 20-year level term insurance for $180,000 if they make extra mortgage payments annually.

    Example 2:
    The Johnsons both work and have two young children. Each parent purchases a 20-year policy for $400,000, which will be used to cover child-raising and higher-education expenses if one or both of them die.

    Example 3:
    The Greens are empty nesters with negligble debt and a wife as the income earner who will to retire in 15 years. They purchase a 15-year level term policy to replace lost income if she dies.

    Let Four Peaks Planning, Inc. help you find the best term insurance because shopping is not just finding the lowest quote. Each insurance company will rate your health conditions differently. Our brokerage firms understand which carrier will underwrite your conditions best and most affordably.

    Universal and whole insurance can also be used to replace lost income. Because these policies build cash value and do not lapse during your lifetime, the premiums are higher. These policies are useful for: 1) Creating wealth for non-dependent beneficiaries 2) Serving as a savings vehicle which benefits from tax-deferred growth and 3) Paying estate taxes for large estates. .
    Because of our status as an independent insurance agency, we can often improve your coverage and reduce your costs by comparing all insurers.

    Several of our brokerage firms will review your individual or group life, health, disability and/or long-term care insurance.

    If you are considering replacing insurance:
    1. Never cancel your current policy until a new policy is offered by the insurance company. Make sure you are still insurable.

    2. Compare provisions between your old policy and new policy. Understand that you may have to satisfy limits in your new policy that have already been satisfied under your current policy.

      For example, a life insurance policy has a two-year "incontestable" clause. That means after the policy has been in force for two years, the insurance company must, by law, pay a death claim even if there were misrepresentations in obtaining coverage, unless fraud can be proven. With a new policy, the two-year incontestable clause begins all over again.
    Since not all insurance companies carry a rating of "A" or higher according to A.M. Best, Standard & Poor's and Moody's, we consider only insurers maintaining an "A" rating or higher.

    For a free quote or review, call: (480) 229-6220.

    		   
    If you have questions or would like to learn more, please call (480) 229-6220 or send a message by clicking the email address above.
    Important: Please consult with Four Peaks Planning, Inc. before undertaking any actions. The information in this web site is provided with the understanding that the publisher is not engaged in rendering legal, tax or investment advice. While every attempt has been made to provide current and accurate information, neither the author nor the publisher can be held accountable for any errors or omissions. You agree not to hold any employee of Four Peaks Planning, Inc. liable for action you take from the information on www.fourpeaksplanning.com.