Life Insurance in Texas

Does a shiver resonate through your body when you think about the term ‘Life Insurance’? It is a complicated and daunting topic for most, made even more dramatic by the emotional link it has to death. If you are curious about your life insurance options in Texas, Carruth Insurance in Beaumont, TX can explain the differences between policies.

There are predominantly two types of life insurance available to you, and each one will fit a different lifestyle or situation. So, which one do you choose, term life insurance or whole life insurance?

Term Life Insurance

This refers to insurance coverage designed to cover your family for a fixed period. This term is usually between 1 – 30 years. The idea is to cover your family from financial hardship during periods of high financial demand on your salary when there is a great dependency upon your income. There are many variables, including your marital status, the number of dependents, your standard of living, and disposable cash to pay the premium.

Whole Life Insurance

As the name eludes, whole life insurance covers you for your entire life, or while you are paying the premium. The premiums consist of a beneficiary component (allocated after your death) and a cash component that is available to the policyholder, utilized as a forced saving strategy. This residual component can help pay things such as estate tax your family are subject to pay, be loaned against, or act as a dividend to yourself after retirement. Thus, it can be wound into your retirement planning suite.

There are many factors to consider when entering a life insurance arrangement, which has not been covered in this article. Speak to our Texas representative today to find out how to protect your family.

Call us today to discuss your Life Insurance with a colleague at Carruth Insurance in Beaumont, TX.