What would happen to your family in the event of an unexpected death? At PFG, we provide you with a capital needs analysis to help determine the financial situation your dependent survivors would inherit. If our analysis reveals that life insurance is recommended, we evaluate and discuss with you various strategies (e.g., term, universal, whole life) to help determine a cost-efficient insurance option.
Protecting what Matters Most
Your family is your top priority. While your financial needs, goals and dreams will change, making sure your loved ones are protected will always be important. Life insurance can help provide confidence, knowing they’ll be okay financially.
While nothing could replace you, life insurance can ease the financial burden caused by an untimely loss. Life insurance provides a tax-free death benefit that your beneficiaries can use to pay your final expenses, reduce debt, cover medical bills and pay everyday living expenses like childcare, groceries and rent or mortgage payments.
Life insurance proceeds can also help your loved ones maintain their lifestyle and help build their future – such as continuing a hobby, funding a college education or saving for retirement.
What is Life Insurance?
Simply put, life insurance is a policy that will provide benefits to your chosen beneficiaries upon your death. If your death occurs during the coverage period of your selected policy, the people you specify as beneficiaries will receive benefits from the policy either as a lump sum or through flexible income payment options. These benefits are paid directly to your beneficiaries, so there should be no additional costs or delays in receiving the financial benefit you’ve secured for them.
Why Choose Life Insurance?
Life insurance is an essential part of your financial well-being. It’s also great at providing peace of mind for the future. But did you know it can provide so much more than that? Life insurance provides benefits you may not be aware of. A lot goes into choosing life insurance coverage – policies are not one-size-fits-all.
Coverage That Works Harder for You
Today’s life insurance policies can do more than ever before – including offering income to live on if you become ill. Of course, there are some rules around how these policy features work but having the option to use your life insurance while you’re living can ease your mind and your financial burden if the unexpected happens. You should discuss these different benefits with your advisor or agent.
Get The Right Fit
With the right type of policy, you may also be able to use accumulated cash value in the account to finance a college education, fill in the gaps of your retirement income, purchase a home or pay other expenses. We offer three types of life insurance, term life, whole life and universal life. Each serves as protection for your loved ones, but differs in price and coverage characteristics. No matter which type of coverage you choose, life insurance premiums are almost always lower when you’re younger and healthier, so don’t wait!
Term vs. Permanent
Term Life Insurance
Term life is an affordable choice that generally provides coverage for a set period of time. The premiums – or regular payments you make– are the same throughout the specified time period. Term policies aren’t savings vehicles and don’t grow in value.
Permanent Life Insurance
Permanent life insurance may provide coverage for your entire life and offers the potential to accumulate a tax-free cash value. This cash value can be used on a tax-preferred basis throughout your lifetime for expenses like travel, college tuition or supplemental retirement income.
What are the differences between term and permanent life insurance? We’ve created a side-by-side comparison to help you understand the main features of each type and how they compare.
LONG TERM CARE INSURANCE
Long Term Care Insurance
- Preserves assets needed for later in life
- Preserves independence and financial security for spouses
- Relieves financial and emotional burdens on family members
- Provides capital and freedom of choice regarding alternatives
Why You Might Need Long Term Care
One of the greatest threats facing American baby boomers during retirement is the cost of paying for long-term care. People are living longer, and many people haven't had to experience the added pressures on their lives both financially and emotionally caused by the cost of paying for a family member receiving long-term care. According to the Centers for Medicare & Medicaid Services, at least 70% of people over 65 will need long-term care services and support at some point.
As we age, long-term illness or a chronic condition, may cause us or a family member to need extra care at home, in an assisted living facility or even care in a nursing home. To get help with these tremendous costs, a long-term care insurance policy may be the answer. This type of insurance can help maintain financial freedom and give flexibility in making choices about the services we receive, where we receive them, and who provides the care we need.
Medicare or major medical insurance may cover some home care and nursing home expenses, but only if services are for skilled care and not for an extended period of time. Major medical insurance, Medicare supplements or Medicare won't pay for chronic long-term care expenses, and none of these will pay expenses for care in assisted-living facilities. The government shouldn't’t be counted on to pay for the cost of long-term care unless eligible for Medicaid. Sadly, without proper planning, many people end up paying out of pocket until they have depleted their nest egg.
With long term care insurance, you can maintain your dignity and financial security. The most important issue we have heard from our clients is the "relief that they won't be a financial or emotional burden on their family."
Choosing a quality company that offers policies with good benefits is very important. These choices can be complicated and even overwhelming. At PFG, we can help you choose the right company with benefit options that fit your particular situation.
The Cost of Care
To decide whether you need long term care insurance and how much to buy, you need a sense of how much your care could cost.
For an estimate of potential long term care costs in your state, see the 2016 Genworth Cost of Care study or use the interactive map below.