What is Available
Do you really need life insurance? Not all of us do but if you have family or others who are dependent on the income you bring in, you do. Life insurance should be considered as a way to protect those loved ones. Picking a policy right for you can be difficult if you don’t understand what is available.
Certainly you want to consult a professional before you buy so begin by doing some research on each type. There are three types of insurance and two variations. The basic ones are term life, variable life and whole life. The variations are then universal life and variable universal life.
Term is the least expensive and pay a lump sum when you die. Whole cost a little more and money invested will grow over time. Variable a little higher again, is low risk and a tax free account. Universal is more flexible than variable, tax deferred and can be riskier than others. Universal variable is the most flexible and expensive. You have control of cash values but requires you to manage you own accounts. It also offers stocks, money markets and bond funds.