How To Get Financial Freedom With Life Insurance

​Life insurance are commonly sought after to provide love ones with the much-needed fund in the time of their death. Premiums are, considerably, a small amount of money compared to the guaranteed payout granted to the beneficiaries upon the time of the insured’s death.

Different Types of Life Insurance
There are three categories of life insurance plans available in the market.

1. Term
Insurance is the most efficient way to acquire a life insurance. The premiums you pay are calculated based on:

• Age
• Health
• Other issues

The only issue they have in this type of insurance is that it rarely delivers to its promises and never pay death benefits. This is only because it’s very common that people outlive the term or they ignore paying the premiums.
To put it simply, Term Insurance provides benefits for a limited period of time. It can be for ten years, 20 years or longer. Unlike Permanent Life Insurance.

2. Permanent
Permanent life insurance offers fixed premiums, death benefits and cash values. It can be expensive because for your whole life the insurance company shoulders the risks, like:

• Inflation
• Investment
• Death
• Other risks

The insurance company charge premiums based on these risks which they are all well-aware of.

3. Universal
The Universal Life Insurance is a flexible permanent life insurance which costs as much as a term life insurance. It also has the saving element of permanent life insurance which provides cash value build up.
It is a hybrid type of life insurance which can provide you with very efficient benefits guaranteed for your whole life. You can customize it to suit your needs.
 
Benefits of Life Insurance While Still Living
Most modern life insurance policies today feature benefits you can appreciate while you are still alive. They call this Living Benefits, and it could range from loans with zeros interest to investment earnings accumulation that is tax free.

With this benefit you can have access to cash when you need it, through tax-free loans. Essentially, you borrow the money from your investment rather than from the bank. Then, you pay back the money that you took from the policy with significantly low interest.

Take advantage of growing your money tax-deferred and borrowing cash tax-free. Having a positive arbitrage gives you the power to invest at a higher rate and access money at a lower rate.

Depending on your policy, insurance companies can offer you zero-interests loans after your contract reaches ten or twenty years. Otherwise, they usually offer two percent loans for policyholders.

There are two terms of loans you can access:

• Spread or Wash Loan

This type of loan allows you to borrow money from your policy, but you won’t be earning interest from it.

• Participating Loan

This allows you to borrow money at a rate and the insurance company continues to invest your money as though it has never been taken from your policy.

Life insurance policies are a good investment indeed. You have so many options to design your policy which will enable you to get the right guarantees and terms.

It can be a very valuable and highly beneficial toll to plan for your future and protect yourself from unfortunate incidents. Get Life Insurance from the most reliable and trustworthy source. At Roper Insurance Services, we put our clients first by offering them policies that they can afford. Learn more about our products and services by calling our agency at (828) 697-6709. You can also request for a free quote by CLICKING HERE.