Los Angeles, CA (PRWEB) November 23, 2011
Online Insurance Marketplace, the premiere site to get the best term life insurance quote, announced today a new blog, titled, "Should I Buy Term Life Insurance or Whole Life Insurance?" Individuals that want to buy life insurance online are encouraged to read the blog to find out which no exam life insurance is best for them.
The blog answers the question, should one buy term life insurance or whole life (sometimes called permanent life or universal life) insurance? The ideal answer is: both, if possible. Both types of coverage can provide excellent protection for one's family’s financial security. But each type varies in how it works and how much it costs.
Whole life insurance lasts for a whole life (as long as one keeps paying the premiums), and is generally more expensive than term life insurance. Many types of whole life policies accumulate cash value (which, in some cases, can be borrowed against or even “cashed out” in financial emergencies).
Term life coverage is in effect (again, as long as premiums are paid) for a fixed term, such as ten, twenty, or thirty years. It accumulates no cash value. And if the policyholder outlives the term, the insurer keeps the entire amount paid in premiums. However, a term life policy is generally quite a bit less expensive than a whole life policy.
It all depends on one's needs and budget—how much one would like the benefit to be worth and how much one can afford to pay in premiums. Even in the case of whole life coverage, which can accumulate cash value, don’t think of any type of insurance as an investment in the traditional sense. Life insurance is about protection, not profit. So think about the people that will be protected and how much protection they need.
Calculate approximately how much income loved ones require to maintain the current lifestyle they have: the home, car, food, clothing, college education fund, and on and on. That (adjusted for inflation, of course) is how much protection is needed.
Or, if one has other plans for a policy, calculate how much might be needed to pay, in the worst case, for end-of-life arrangements if one is ill or disabled before death. Or calculate how much would be a generous gift to leave behind to a church or temple or mosque, or to a favorite school or charity.
Now think about how much one can afford. The goal is to achieve the perfect balance: the maximum coverage at a price that fits well within one's budget. One may be able to find excellent coverage with a substantial benefit (hundreds of thousands of dollars) at a rate less than the cost of a cup of coffee per day. Exactly how much one will pay depends on several factors, but age and general health status are most critical.
Online Insurance Marketplace is an online provider of life, home, health, and auto insurance quotes. It is unique in that this website does not simply stick to one kind of insurance carrier, but brings the clients the best deals from many different online insurance carriers. This way, clients have offers from multiple carriers all in one place, this website. On this site, the client will have access to quotes for insurance plans from various agencies, such as local or nationwide agencies, brand names insurance companies, etc.
For more information, please contact http://www.onlineinsurancemarketplace.com.
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