April 9, 2014 by Troy Baccus

Term Life or Permanent Life Insurance?


Term or Permanent Life Insurance?A huge percentage of Americans who need life insurance are uninsured.  In addition to the “Big 3”, one of the main reasons people don’t purchase life insurance is because they aren’t sure what type of life insurance they need.  (If you’re not sure if you need life insurance, our blog post on the subject is a good starting point.)

Our life insurance homepage includes a thorough description of the various forms of life insurance, but we like the analysis presented by Forbes in their article “How to Buy Life Insurance.”

In the article, Forbes described term life insurance as follows:

Many financial planners recommend sticking with term coverage. This provides insurance for a set number of years, usually in exchange for fixed premiums, which can be paid monthly, quarterly or annually. A 40-year-old breadwinner with young children, for example, might decide on a 15- or 20-year term to ensure that the kids’ expenses are covered until they’re financially independent.

Forbes explains that permanent life insurance makes sense under some circumstances for its tax benefits: “Because of life insurance’s special status under tax law, permanent policies are sometimes used by wealthy individuals as an estate-planning tool.”

You might be surprised how low the cost is for term life insurance.  Rates can be surprisingly inexpensive if you are a healthy non-smoker.  We can help you with term life insurance; just give us a call or you can apply for life insurance online.

If you’re interested in permanent life insurance, please fill out the custom life insurance form or give us a call at 406-548-3135.

The Standard, MetLife, Principal Financial Group, Genworth, & Lincoln Financial Group