What Is The Difference Between Whole Life and Term Life Insurance

You are not alone if you think life insurance is a confusing concept. It seems like it shouldn’t be this confusing, but it can be. After all, you just pay a premium, and your family receives a benefit when you die, right?

For the most part, that is correct. It’s just a matter of how long you want the benefit to last and how long you want to pay premiums.

Let take a look at the difference between whole life insurance and term life insurance…

What Is Whole Life Insurance?

As its name implies, whole life insurance lasts for your whole life. As long as you pay your premiums, the benefit will be there for your beneficiaries when you die. However, because it will be there no matter how long you live, you will also be paying premiums for virtually your entire life.

Some whole life policies have limited-pay options, but for the most part, you will be paying premiums until age 100 or age 120. See what I mean by paying premiums for your entire life?

One of the biggest advantage of whole life over term life is that a whole life insurance policy accrues cash value over time. Therefore, you can take out a loan on your policy after a few years. The loan will be counted against your face value, so your family will not receive as much of a payout, but at least it is there as an option.

Premiums for a whole life policy tend to be higher than a term life policy, and for good reason. Since the benefit will definitely be paid out, insurance companies have to make sure they have enough money to pay the benefit.

Whole life policies can be great for estate planning and final expense insurance.

What Is Term Life Insurance?

Again, as its name implies, term life insurance is a policy that expires after a certain timeframe, usually somewhere between age 60 and 70. You also only pay premiums until you reach that age.

The reason many people purchase term life insurance is that it is cheaper than a whole life insurance policy, and by the time someone has reached their 60s they may have enough money is savings to provide for their family.

Term life insurance is a death benefit only. There is no cash value that accumulates.

How To Buy A Life Insurance Policy?

There are more details to know when figuring out the difference between a whole life and term life insurance policy, but these are the highlights.

One way to know for sure which option is best for you is to talk to a licensed agent. Look online for agents near you, and get references from people you know. Chances are, you already know someone who sells life insurance.

I’m in north Texas, and one of the companies I like best is Gee Insurance Solutions. They are very professional and knowledgeable, which is what I like in my agents.

Life insurance is a necessity. No, you won’t be around to enjoy it, but it is a great way to leave a lasting legacy with your family.

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Will My Health Insurance Cover A Tummy Tuck Surgery

“Will my insurance cover a tummy tuck surgery” is something that many people have wondered. After all, there are many reasons to need a abdominoplasty, with the two most popular times for people to get a tummy tuck being after pregnancy and after major weight loss.

But tummy tuck procedures are expensive. An average cost is $5,500, but they can easily be over $10,000 if a more involved surgery is required. That is a lot of money to shell out. Money that most people do not have laying around. That leads many people to ask if their insurance plan will pay for the tummy tuck.

Will Insurance Cover A Tummy Tuck Surgery?

A tummy tuck is usually classified as an elective, cosmetic procedure. It probably doesn’t feel that way when you need one, especially if the reason is that you had a baby or lost a lot of weight. However, many insurance companies feel that you can live without the procedure, so they do not want to pay for it.

But that doesn’t mean you should just take no for an answer and not even inquire about it. Each individual health insurance plan is different. Make sure to call your insurance company to find out if they will cover a tummy tuck. If your doctor classifies the abdominoplasty as medically necessary then you might have a fighting chance at getting some help paying the bill.

What To Do If A Tummy Tuck Is Covered By Insurance

If you are one of the lucky ones that can get the tummy tuck procedure covered by insurance, then there are a couple of things you will want to be aware of.

First, make sure you have the surgery performed at an in-network facility. You will save a ton of money by going in-network. The problem with many cosmetic surgeries is that many physicians are not in-network. Still look around, though, and ask your insurance company or look on their website for network-contracted doctors that can perform the tummy tuck.

Second, make sure you have a clear understanding of what you will owe for the procedure, and get it in writing. Even if you have an insurance plan that will cover the tummy tuck, you will still be out quite a bit of money if you haven’t hit your deductible and/or out-of-pocket maximum. Don’t get surprised later on just because you didn’t do enough research at the beginning.

How To Pay For A Tummy Tuck When Insurance Won’t Pay

If you are like most of us, and you have an insurance plan that won’t pay for a tummy tuck, then how best to pay the big bill? First off, make sure you really want a tummy tuck. Before you pay upwards of $10,000, make sure it is something you really want to do. If you have buyer’s remorse on a car, you can take the car back or sell it to someone else. However, if you have buyer’s remorse on a surgery, there’s nothing you can do.

Second, check with the doctor’s office about payment plans they may have. They know that most people can’t afford to hand over thousands of dollars at one time, and many will work with you to pay your bill. It means going into debt, so again, make sure you are truly ready to have a tummy tuck.

And above all, make sure you do your research to find the right medical provider for you. Look for both cost and ability, and make the best decision for you or your family.

So, will your health insurance company cover a tummy tuck surgery? That depends on your plan and your medical necessity. Call your insurance company, check out their website, and talk to your doctor. You will then have all the information you need to make the best decision for you and your family.

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What Is Wedding Insurance – How Much Does Wedding Insurance Cost

It’s not until you are engaged that you truly realize all that goes into making a wedding great. Before you know it, the cost of a wedding can skyrocket. Have you ever thought about what would happen if an unforeseen event happened and cost you a lot of time and money? What if a storm wiped out the venue? What if the photographer didn’t show up? That’s where wedding insurance can be a big help. What is wedding insurance? It is an insurance policy that covers these uncontrollable circumstances.

There are a few things you will need to understand, so keep reading.

How Much Does Wedding Insurance Cost?

After you learn what is wedding insurance, the next thing you probably want to know is how much does wedding insurance cost. Obviously, the price of a wedding insurance policy will vary based on where you live, what you want to insurance, and the insurance company, but you can find policies for under $100. If your wedding is going to be pricey, the cost still probably won’t go over $1000.

Is Wedding Insurance Necessary?

Something to consider before you buy a wedding insurance policy is if the vendors you hired have their own insurance. You don’t want to pay for something that is already covered by another party.

Ask your church, reception site, caterer, photographer, etc. if they have their own insurance, and if they do, ask if you can see a copy of their policy. Don’t just take their word for it. Make sure you know exactly what is covered and what isn’t.

If there is something left uncovered that is very important to you, then consider buying a wedding insurance plan.

When To Buy Wedding Insurance?

Like most things wedding related, when you are learning what is wedding insurance, if you decide to go ahead and purchase a policy, the sooner you buy it the better. You are most likely booking things like a reception site and photographer 6-12 months in advance, which is a lot of time for something catastrophic to happen. If you have a wedding insurance plan and your reception hall blows away in a tornado 3 months before the wedding, the insurance plan will probably pay for your deposit or any other money you have already put down.

Check with various wedding insurance companies so that you know their limitations on how far in advance you can purchase a policy.

What Does Wedding Insurance Cover?

The best wedding insurance will cover as much as possible at the lowest price possible. Unfortunately, a big sticker doesn’t come and tell you which policy is the best.

There are many different problems that can occur during wedding preparations. The site can have problems, you can have bad weather, vendors can cancel at the last minute, and important people can get injured or sick. All of these things can be covered by a wedding insurance policy.

Each policy is different, and insurance companies will usually cover up to a specified amount of financial amount for each potential loss. Know these details before you sign a wedding insurance contract.

What is Wedding Insurance – Other Things to Think About

Before you buy a policy, make sure to compare wedding insurance plans. If you aren’t sure you want to do it yourself, you can find an agent that will help you out.

Please keep in mind that wedding insurance typically doesn’t cover the inability to pay for wedding services. If you lose your job, insurance usually won’t cover this.

Additionally, wedding insurance won’t cover a break up. If your engagement falls apart, your policy probably won’t cover it. If you don’t think you’ll make it to the aisle, then wedding insurance isn’t for you.

There is a lot to learn when getting married, and learning what is wedding insurance is important. Look into it, compare wedding insurance plans, and buy a policy if it will help. Good luck!

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How Do Insurance Companies Make Money?

Most of us have some sort of insurance protection. Whether it’s health insurance, car insurance, homeowners insurance, life insurance, or something else, we all are paying a premium (or someone is paying it for us) to reduce the potential financial burden in the case that something bad happens to us. When insurance companies are paying out for all those claims, how do insurance companies make money? Read on to find out.

What Is Insurance?

Before we can talk about how insurance companies make their money, it’s important to have an understanding of what insurance is. Insurance is when a policyholder pays another entity (the insurance company) a payment in exchange for the insurance company reimbursing the policyholder in the case of a financial loss.

For instance, if you own a home you pay homeowners insurance. If your home burns down, the insurance company will pay for the damages according to the details of the insurance contract.

With health insurance, you pay your premium, and in exchange you do not pay as much for an orthopedic surgeon as you would without insurance.

What if you never suffer a loss? Well, the insurance company keeps your premium. However, I will happily go the rest of my life paying out insurance premiums on my house, even if I never suffer a loss. Because that means my home was never burglarized, burned, etc. But if those things do happen, I can rest easy knowing that I will not be responsible for repairs or rebuilds.

How Do Insurance Companies Make Money?

An insurance company sets their premiums based on how much they expect to pay out in claims. Underwriters and actuaries do the math and predict an amount of financial loss that they will pay out to policyholders.

After they predict the amount of claims, they have to add in other things such as administrative costs, premium taxes, broker fees, and other costs of doing business.  Then, after that, they add in their margin, or profit.

They take all of those figures and divide by the number of policyholders to get a premium.

That actual formula for determining premiums is more complicated than that, but those are the basics. As you can see, if the claims come in higher than expected, the insurance company’s profit goes down. If the claims come in lower than expected, the insurance company’s profit goes up.  A lot rides on the accuracy of the underwriters and actuaries.

Shop Around When Buying The Best Insurance Rates

When insurance companies are battling for your business, it is usually the amount of profit they are willing to give or take that determines how competitive they will get with their pricing. Most of the other aspects of an insurance premium is fixed. Whether you are an individual or a group, insurance companies will many times come down on their premium if you press hard enough.

So when wondering how do insurance companies make money, it comes down to the profit they are taking on top of claims and fixed expenses.

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How To Buy Pet Insurance Online

Everyone should protect their pet. Like my mother told me, don’t get a pet if you don’t plan on taking good care of it. If it gets sick, it is your job to make sure it gets well. A pet is not an investment, but it is a member of your family. But what do you do when your pet gets so sick that you have to make a choice between your pet and your rent?

Fortunately, you have the option of pet insurance. Buying pet insurance, and in particular buying pet insurance online is quick, simple, and rewarding.

How to buy pet insurance online? Follow these simple rules.

Buy Pet Insurance That Is Specific To Your Pet

What kind of animal is your pet? A dog, cat, bird, snake? Something else? You can buy pet insurance that is specific to your animal. Find a pet insurance company website that works with your specific pet so that you know your friend will be well taken care of when a sickness occurs. Make sure you check out certain specifics on things like breeds that are covered.

Buy Animal Insurance That Covers Your Pet’s Age

When you buy pet insurance you’ll need to take into account how old your pet is. Just like with insurance for a person, the price of your pet insurance premium will be partially determined based on your pet’s age. Typically, a younger pet will have a low pet insurance premium compared to an older pet. Shop around and you can get a good deal.

Make Sure You Get the Best Coverage For Pet Insurance

How to buy pet insurance that gives you the best bang for your buck? A low pet insurance premium is what everyone is drawn to at first, but don’t forget that you need to know what you’re buying. Some insurance companies give several coverage options, so make sure you know what you can get help with when you animal goes to the veterinarian. What does your pet need to be taken care of? That’s what you’ll need to buy. Make sure you are up front about pre-existing conditions or else you run the risk of the unpleasant surprise of not having something covered. It’s better to be honest and be declined than pay for something and get caught later on.

Pay Your Pet Insurance Premium On Time

Like anything, pet insurance is another bill you’ll be receiving. Make sure you get your premiums paid on time. You won’t want to get declined at the vet’s office because you’re behind on your premiums. It’s embarrassing, and it puts your beloved pet and your wallet in jeopardy.

Where Can You Buy Pet Insurance Online?

If you are looking to insure your dog and/or cat, I recommend Embrace Pet Insurance. The sign up form is simple, and you can get a quote quickly. If you like the quote, the purchase process is a snap. Get a FREE quote today.

So when you are wondering how to buy pet insurance online, make sure you look around, are honest, and get those premiums in. Your pet will thank you!

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