January 19, 2022 |Life Insurance, Terms
Life is unpredictable, and nothing is without risk. At Texas Farm Credit, we want to help bring you peace of mind by ensuring that the future of your family or business is secure.
By partnering with FCS Life Express, we offer a variety of insurance policies to keep you focused on the “here and now” instead of the “what if”. I’ll cover a few of these life insurance policies and go into detail about what they offer. We want to help you distinguish which life insurance policy is right for you.
First, our most popular policy is the Guaranteed Universal Life Insurance. This one is the least costly, can be renewed at age 95 to a permanent coverage, and offers term periods ranging anywhere from 10 to 40 years. It also offers fixed premium guarantees for the life of the policy and an optional return of the premium. It truly is coverage that’s guaranteed to last your lifetime.
This means that if you outlive your policy, all the premiums that you paid will get refunded to you. If you don’t outlive your policy, your beneficiaries will, of course, receive that sum of money. This is one reason our life insurance is worth it in the long run. Even if you end up outliving your policy, which is the best-case scenario, you can rest assured knowing you’re insured and prepared for whatever life throws at you.
Second, another policy that we offer is Permanent Life Insurance. As the name implies , this policy will remain intact for your entire lifetime. It includes survivorship life insurance, which is one policy that covers two lives. It’s guaranteed for lifetime and will be paid at the death benefit on the death of the surviving covered life. This type of policy is often used for Estate Planning and Farm or Business Transition Planning.
Permanent life also offers guaranteed universal life insurance with guaranteed level premiums for the lifetime of the policy. This means your premiums won’t change no matter what is happening in the world.
Now let’s talk Disability Insurance. This policy offers both short term and long-term coverage, business overhead expense coverage, and customized coverage for your operation. One of the great things about this policy is that if you were to get injured on your farm or ranch, it can ease the finanical burden of your operation for a certain amount of time.
So there you have it. If you have questions about the policies I mentioned, please reach out. Texas Farm Credit cares about your livelihood and your important people. We care, because many of us are from a farming and ranching background. We know the financial burden one can face when times get tough.
Call us and let us help you stop thinking about the “what if” and start living in the here and now.
Frequently Asked Questions
Term life insurance provides coverage for a certain period of time, called a specified “term.” If the insured person dies during this term, then the stated death benefit will be paid to the insured’s beneficiaries.
How term life insurance works is through a contract between the owner of the policy and the insurance company. Term life insurance policies typically last 10, 15, or 20 years and premiums are based on the owner’s age, health, and life expectancy. The owner of the policy agrees to pay a premium for the stated term and the insurance company agrees to pay the owner’s beneficiaries a stated cash amount if the owner dies within the policy’s term.
When a term life insurance policy ends, generally the policy expires and requires no more action from the policy holder. There is no more policy benefit and the owner of the policy can stop paying the premiums. Some providers offer the option to buy a new term life insurance policy or convert it to permanent life insurance.
The average cost of life insurance in Texas is $53 per month or $636 annually. Life insurance premiums vary based on sex, age, health, life expectancy, and the value of the policy.
Whole life insurance provides lifelong protection while term life insurance only provides coverage for a set period of time. Term life is simple and more affordable than whole life, but only provides a limited term of coverage. Whole life comes with a cash value that grows over time.
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