What is Life Insurance?

To be simple, Life Insurance gives you peace of mind when it comes to your loved ones.
With Life insurance you can provide to cover the lost income, pay outstanding liabilities, pay for your final expenses, and fund your child’s education.

In creating a sound financial plan insurance play’s a major role to protect your assets.
Life insurance as a part of your financial plan provides death benefit to your beneficiaries upon your death.
Your beneficiaries are able to use the benefit tax free^1,2 and while avoiding the costs and timing of probate.

Individual Life Insurance

Whole Life
- Permanent at issue.
- Accumulates cash value.
- Tax Deferred growth on cash value.
Universal Life
- Considered a hybrid between Term and Whole.
- Several options to best fit you situation.
- Accumulates cash value.
- Provides different options to provide market linked indexed participation, guaranteed coverage for life, active management of life insurance.
  - Indexed Universal Life
  - Guaranteed Universal Life
  - Variable Universal Life
Term Life
- Provides a cost effective way to maximize your death benefit for a set period of time.
- Typically used to cover specific financial liabilities such ass college expenses, mortgages, and outstanding debt at a person’s passing.
- Can provide a legacy to your loved ones without the burden of probate and taxation.
- To supplement other permanent life insurance when coverage needs are higher.

Group Life Plans

Group Term Life
- An offering by most medium to large employers to their employees.
- Provides the same benefits as term insurance while.
- Typically allows guaranteed acceptability for plan limits.
- Supplemental coverage may require additional underwriting.
- Ends upon termination of employment
  - Can be converted to a permanent individual policy.
  - Upon conversion offered options may not be competitive.

Pursuant to tax treatment of life and disability insurance policy proceeds.
Reference: IRS FAQ
The estate tax applies to estates over $5 million in value. Life insurance proceeds for estates over the IRS defined estate tax applicability amount may become taxable.