Life Insurance Coverage

Ensure Your Family is Protected With Life Insurance

The purpose of life insurance is to provide your family with the funds necessary to meet financial obligations after your death. The costs associated with the insured death -- medical bills, funeral expenses, estate taxes-- and the long term costs of mortgages, food, cars, utilities and education must be carefully calculated to determine how much insurance is necessary to maintain your current lifestyle. Once that is determined, Clifford M Golub Associates Inc can develop a policy to suit your needs and your budget.

Term insurance is the least expensive initially. Large amounts of insurance can be "rented." You are covered for the term of the policy, providing your premiums (payments) are current. It is often used to provide coverage temporarily, for instance while a mortgage is being paid or while children are in college. It is less expensive because there is no cash value. The premiums increase significantly with age, but many have an option to convert the policy to a whole-life (permanent) policy without submitting to a medical evaluation.

Businesses use term policies to protect themselves from financial loss by the death of a key employee. The business owner, or key employee, who has very specific skills critical to the future of the business, can be protected with a policy often referred to as a key employee policy. The business would be the applicant, owner and beneficiary and the benefits would provide help with the costs of running the business and replacing the employee.

Whole life provides permanent protection for the "whole life" of the insured. The premiums remain the same--they don't increase with age like a Term policy and the policy builds cash value. The face amount is a guaranteed amount. For this reason, a Whole Life policy is considered an asset, and the insured can borrow against the policy. Once purchased (providing premiums are paid) the policy will not terminate until the death of the insured or the insured reaches age 100. At that time the face amount is paid to the beneficiary.

Variable whole life is similar to traditional whole life in that it offers permanent lifelong protection, there is a guaranteed minimum death benefit and the premiums are fixed and level. However, there are some differences. The cash value is separated from the rest of the policy and the policy owner chooses how the cash value will be invested by the insurance company. In this case, the policy owner is assuming some of the investment risks and therefore the cash value is not guaranteed.

Clifford M Golub Associates Inc agents are fully trained and licensed professionals. Your life insurance policy should be reviewed periodically to reflect changes in your lifestyle and financial situations. Nobody ever feels they were left with too much life insurance. Unfortunately, the effects of inadequate coverage can compound an already devastating situation.