Questions and answers
Straight answers about life and health insurance. Don’t see your question? Contact us.
Is life insurance taxable?
The death benefit is generally not subject to federal income tax for your beneficiaries. There are exceptions, and estate taxes can apply to large estates, so ask a tax professional about your situation.
Do I need a medical exam?
Not always. Many insurance companies offer some policies without an exam, based on your answers and records. Others ask for a short exam that a nurse can do at your home or office, at no cost to you.
Can I have more than one life insurance policy?
Yes. Many people have a policy through work plus a personal policy. A personal policy stays with you if you change jobs.
How long does it take to get covered?
It depends on the insurance company and the policy. Some decisions come within days; policies that need an exam or medical records can take several weeks.
What happens when my term life policy ends?
Coverage stops. Depending on the policy, you may be able to renew it yearly at a higher price or convert it to a permanent policy without a medical exam before a deadline.
Can I cancel term life insurance?
Yes, you can stop paying and the coverage ends. Term life has no cash value, so there’s nothing paid back to you, unless you bought a return-of-premium policy.
What is cash value?
It’s a savings part of a permanent policy that grows over time. You can borrow against it or withdraw it, which may reduce the death benefit and may have tax effects.
What’s the difference between whole life and universal life?
Whole life has fixed premiums and guaranteed cash value growth. Universal life lets you adjust premiums and the death benefit, and its cash value growth depends on the policy type.
Can I get help paying for health insurance?
Many people qualify for financial help based on income and household size when they buy through their state’s health insurance marketplace. Your agent can explain what may apply to you.
Can I be turned down for a pre-existing condition?
Major medical plans that follow the Affordable Care Act can’t deny you or charge you more because of a pre-existing condition. Some other kinds of plans have different rules, which your agent will explain.
How many employees do I need for a group plan?
Small group plans are available to many businesses with just one or two employees in addition to the owner, depending on the state and the insurance company. Your agent will confirm what applies to you.
How do you get paid?
We’re usually paid a commission by the insurance company you choose, which is built into the policy price. There’s no separate fee to work with us. You can ask us for details about our compensation at any time.
Is my information secure?
Yes. Your information is encrypted, access is limited to the people handling your application, and it’s only shared with the insurance companies you apply to.