When most people think of life insurance, they think of the death benefit it provides. Often overlooked are the benefits life insurance can bring you while you are alive. These living benefits can play an important role in helping you build and protect your assets.
Permanent life insurance offers a cash-value component that accumulates inside the policy and grows on a tax-deferred basis. The cash value can be accessed through income tax-free loans* that can help provide funds for:
Major medical bills
The down payment or closing costs on a home
College tuition expenses
Major home or car repairs
Supplemental retirement income
Unlike loans from a bank, there is no credit check or income verification required to access the cash value of your life insurance policy. This ensures that you have access to the money when you need it most.
Optional Chronic Illness or Terminal Illness Riders
These riders typically pay benefits if you acquire a permanent chronic illness or cognitive impairment such as dementia, that meet certain criteria, and impact your ability to function in daily life. How common are chronic illnesses? According to the U.S. Centers for Disease Control and Prevention, 50 percent of adults in the U.S. had at least one chronic illness in 2012. Similar riders provide benefits if you are diagnosed with a terminal illness.
Waiver of Premium Riders
Most life insurance policies offer an optional waiver of premium rider. The rider provides that the required policy premium will be waived if you become totally disabled. Expenses as a result of disability can wipe out savings and cause financial chaos. A waiver of premium benefit can ensure that your life insurance policy continues and the proceeds are there when needed.
Don’t overlook the living benefits that life insurance offers. It’s a financial tool that can make life a lot easier.
The contemporary life insurance market is way more extensive than a source of income for beneficiaries when catastrophe strikes. With a plethora of options, these plans offer you and your entire family peace of mind, and often give your money investment opportunity to allow you to enjoy the money invested during your lifetime.
Choosing the perfect life insurance plan depends as much on your financial needs as it does on your health class rating. We will assess all factors and guide you through every option until we find the perfect plan for you.
Cosmo Insurance Agency is knowledgeable in various options including but not limited to – term, ROP, permanent and whole - from over two dozen A rated carriers. We are familiar with the rate classifications that particular carriers use to determine the health class of enrollees – and there are significant differences between them. No matter what the results of your medical examination are, we will find the insurer that will provide you will the best rating class and thus the lowest premiums.
Employers, find out about our selection of group life insurance plans, which can help you greatly to attract and retain quality employees. Additionally, these can be a particularly appealing option for individuals with health challenges, as most group life insurance plans do not require a medical examination. Whether you want a basic group life insurance plan or life insurance with long term care benefits, Cosmo Insurance Agency’s life and health insurance agents in New Jersey will be there to guide you.
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