If someone will suffer financially when you die, chances are you need life insurance because it provides cash to your family after your death. This cash, known as the death benefit, replaces your income and can help your family meet many important financial needs like funeral costs, daily living expenses, and college funding. In addition, there is no federal income tax on life insurance benefits.  Here are a few scenarios to think about.

You’re Married. Many people mistakenly believe they don’t need to think about life insurance until they have children. This is not necessarily true. If you or your spouse dies unexpectedly, would there be enough money to pay off debts like credit card balances and car loans and cover the monthly bills such as utilities, mortgage or rent? If you’re planning to have children, you may want to buy life insurance now instead of waiting until you are pregnant as some companies may not issue policies during pregnancy. You’re Married With Kids Most families depend on two incomes to make ends meet. If you died suddenly, could your family continue to meet all of their financial obligations — from paying rent or a mortgage to daily living expenses? Could your family continue their standard of living on your spouse’s income alone? Would their plans for the future — like college stay intact? Life insurance can help make sure your plans for the future can continue. You’re a Single Parent As a single parent, you’re the caregiver, breadwinner, cook, chauffeur and so much more. With so much responsibility resting on your shoulders, you need to make doubly sure that you have enough life insurance to safeguard your children’s financial future.

You’re a Stay-At-Home Parent.  Just because you don’t earn a salary doesn’t mean you don’t make a financial contribution to your family. Childcare, transportation, cleaning, cooking, and other household activities are all important tasks, and the replacement value of which is often severely underestimated. With life insurance, your family can better afford to make the choice that best preserves their quality of life.

You Have Grown Children. Just because your kids are through college and the mortgage is paid off doesn’t necessarily mean that you no longer need life insurance. If you died unexpectedly, your spouse or other loved ones will still be faced with daily living expenses. Would your financial plan, without life insurance, enable your spouse to maintain the lifestyle you’ve worked so hard to achieve now and into retirement?

You’re Retired. Depending on the size of your estate, your heirs could be hit with a large estate-tax payment after you die. The proceeds of a life insurance policy are payable immediately, allowing heirs to take care of these taxes, funeral costs and other debts without having to liquidate other assets, which may occur at a fraction of their value. Life insurance proceeds are also generally income tax free and won’t add to your estate tax liability, if properly structured.

You’re a Small-Business Owner. Besides taking care of your family, life insurance can also protect your business. What would happen to your business if you, one of your fellow owners, or a key employee died? Life insurance can help in a number of ways. For instance, a life insurance policy can be structured to fund a buy-sell agreement. This would ensure that the remaining business owners have the funds to buy the company interests of a deceased owner at a previously agreed upon price. To protect a business in case of the death of a key employee, key person insurance, payable to the company, provides the owners with the financial flexibility needed to either hire a replacement or work out an alternative arrangement.

You’re Single. Single people may think they do not need life insurance, but there may be exceptions. For instance, some single people provide financial support for aging parents or a sibling with special needs. Others may be carrying significant debt that they wouldn’t want to pass on to family members who survive them. Insurability is another reason to consider life insurance when you’re single. If you are young, healthy, and have a good family health history, you may be eligible for a more affordable life insurance rate.

It’s impossible to say, because the kind of coverage that’s right for you depends on your circumstances and financial goals. Also, it doesn’t have to be one or the other. But, generally speaking, term offers the greatest coverage for the lowest initial premium and is a great solution for people with temporary needs or a limited budget. Permanent insurance may make more sense if you anticipate a need for lifelong protection, or if the option of accumulating tax-deferred cash values is attractive to you. Often, a combination of term and permanent insurance is the right answer.

The only way life insurance companies can offer coverage at affordable rates is to carefully review your application and health information to decide if you should be approved for their product. With this completed information, they will determine a rate class that matches your health profile and this is what will establish your premium. Generally, a proposed premium amount is provided to you by the licensed insurance agent who may have assisted you to complete your application. This person is also known as a Field Underwriter.

To help insurance companies provide the best rate, you must complete a full application providing detailed information about you and your health. Depending on the amount, you may need to complete a telephone interview and or you’ll need to complete a brief medical exam to confirm the information in your application. The exam is done with an examiner who is paid for by the insurance company and can be completed at your home, office, or the examiner’s office during a time that’s convenient for you.

Once the insurance company has both your application and exam results, they review your information to confirm your qualification and determine how much you should pay. This review can take a few days, but typically takes 2-8 weeks, depending on your insurance company. Add an answer here.

Determining how much life insurance you need requires a review of your current and future financial obligations, along with the resources your family may have available.

Your financial obligations are a combination of what it would cost to help your surviving family members meet immediate and ongoing needs like funeral costs, taxes, food, clothing, utilities, mortgage payments, and future obligations like college and retirement funding.

The resources that your surviving family members could draw on to meet those obligations may include your spouse’s or partner’s income, savings and investments, and any life insurance you might already own.

The difference between the two—your financial obligations minus the resources—is the approximate amount of additional life insurance you need. If this sounds confusing, you’re not alone. It is for this reason that most people turn to a qualified, licensed insurance professional. 

As a homeowner, you want to protect your home with affordable, comprehensive coverage. Mortgage Protection Insurance is a type of term life insurance that is designed to payoff your mortgage in the event of your death. It functions like a standard term life policy in that; you purchase a policy for a set period, make monthly payments, and if you pass away while the policy is in force, your chosen beneficiary receives the funds to payoff your mortgage. This coverage ensures that your family could stay in their home if you were no longer able to contribute to mortgage payments.

We are currently licensed in 10 States providing comprehensive service:  NY, CT, NJ, MD, VA, NC, SC, GA, FL and TX. We are continuing to add states as needed.

Medicare Supplement insurance plans work with Original Medicare, Part A and Part B, and may help pay for certain costs that Original Medicare doesn’t cover. These plans don’t provide stand-alone coverage; you need to remain enrolled in Part A and Part B for your hospital and medical coverage. If you need prescription drug coverage, you’d need to enroll in a stand-alone Medicare Prescription Drug Plan. When you buy a Medicare Supplement insurance plan, you are still enrolled in Original Medicare, Part A and Part B. Medicare pays for your health-care bills primarily, while the Medigap plan simply covers certain cost-sharing expenses required by Medicare, such as copayments or deductibles. In addition, Medigap insurance plans may help with other costs that Original Medicare doesn’t cover, such as Medicare Part B excess charges or emergency medical coverage when you’re traveling outside of the country. Keep in mind that Medicare Supplement insurance plans can only be used to pay for Original Medicare costs; they can’t be used with Medicare Advantage plans.

In contrast, Medicare Advantage plans are an alternative to Original Medicare. If you enroll in a Medicare Advantage plan, you’re still in the Medicare program. However, you’ll get your Medicare benefits through your Medicare Advantage plan, instead of through the federally administered program, and the Medicare Advantage plan replaces your Original Medicare coverage. To enroll in a Medicare Advantage plan, you must: 1) Have Original Medicare, Part A and Part B. 2) Live in the service area of the Medicare Advantage plan you’re considering.

Medicare Advantage plans must provide the same level of coverage as Original Medicare, with the exception of hospice care (which is still covered by Part A). Some plans may also cover additional benefits that Original Medicare doesn’t cover, such as routine vision and/or dental, health wellness programs, and prescription drugs. 

Generally, if you are in good health with few medical expenses, Medicare Advantage is a money-saving choice. But if you have serious medical conditions with expensive treatment and care costs, Medigap is generally better.

Speaking with a licensed insurance agent about your particular health situation can help you decide which is best for you. Since you are not allowed to have Medicare Advantage and Medigap at the same time, you have to choose carefully to make sure you have suitable coverage for your specific situation.

Weighing what options are most important to you and talking with a licensed insurance agent about your particular wants and needs can help you make an informed choice between Medicare Advantage and Medigap.