Life Insurance
Taking care of the people who matter most to you.
Taking care of the people who matter most to you.
If you have people who depend on you financially, you want to make sure they’re taken care of.
A life insurance policy can be a great way to help ensure long-term financial security for your children, spouse and other loved ones.
Especially important for parents of young children and others with people they support financially, a life insurance benefit payment can be used to cover mortgage payments, college tuition, final expenses and more.
Employee owned and customer inspired, we make caring for your loved ones our business.
That’s why we get to know you not just by name, but by nuance. By understanding your priorities, we can understand the best way to help ensure long-term financial security for your children, spouse and other loved ones.
Life insurance policies can be tailored to various needs and goals.
So we begin by listening to your needs and end with a customized solution. By proactively advocating in your best interest, we get you competitive prices today so you can have peace of mind for hundreds of tomorrows.
Because while life insurance is our something, our customers and their loved ones are our everything.
Perhaps the most common variety of life insurance purchased in the United States, term life insurance also tends to be the simplest and most cost effective. These policies work by first establishing a policy period known as a “term.” In most cases, terms can be set for as little as one year and as long as 30 years. After deciding on a term length, you choose between a “level term” or “decreasing term.”
Level terms pay the same death benefit throughout the policy duration, while decreasing terms slowly decrease their death benefit amount each year. While decreasing term options tend to carry lower premium costs than other forms of life insurance, they may fall short of fully covering the needs of a spouse or dependents.
Unlike term life insurance policies, permanent life insurance policies do not have a predetermined end date, and will only lapse if the policyholder does not pay premiums or cancels coverage. Otherwise, a permanent life insurance policy will last for the remainder of the insured’s life.
There are many kinds of permanent life insurance policies, but some of the most popular are whole, universal, indexed universal and variable.
Whole life insurance is a popular estate planning tool purchased to preserve wealth for future beneficiaries. Unlike term life options, which only pay death benefits within the policy term, whole life policies are designed to cover you throughout your lifetime.
While the real-world cost per $1,000 of death benefit tends to increase as you get older, the premium payment and total death benefit amount on traditional whole life policies typically stay the same year-over-year.
This is achieved by charging a higher premium than would typically be necessary during your early years, investing the difference and using returns to offset the increased coverage costs as you get older. If you want to discontinue your policy, the insurance carrier is typically required to make the cash value of these “overpayments” available upon surrender.
In contrast to universal life insurance, whole life insurance provides predetermined payments and interest rates, though this greater level of stability typically comes with a higher premium cost.
Also commonly known as “flexible premium adjustable life,” universal life coverage is a special type of permanent life policy designed to create more flexibility for you.
Universal life policies accomplish this by way of a cash value account that earns money at the market rate of interest. Once enough value has accrued in the account, you can apply your financial gains toward offsetting premium payments, effectively lowering your monthly cost.
Because you can draw from the policy’s cash value, a universal life plan can also serve as a mechanism for post-retirement income replacement.
An indexed universal life insurance policy can offer greater stability than a typical universal life policy while still allowing for a high degree of flexibility. An indexed universal life (IUL) policy’s investments are tied to an index, like the S&P 500. Depending on the policy, it may even be possible to put some of the cash value into a fixed-rate account and some in an indexed account to help create greater stability.
Variable life is another specialized form of permanent life insurance. Like universal options, variable policies also establish a savings account intended to grow cash value through investment in mutual funds. While they employ the same basic strategy as universal options, variable life coverage tends to involve considerably more risk.
This is because market fluctuation can negatively affect cash and death benefit values. Fortunately, some variable life options cap potential losses by setting a minimum policy value as a trigger for divesting.
Regardless of how far along in your life insurance journey you find yourself, you probably have questions. Keep reading for answers.
If you have other people who depend on you, life insurance is almost always a wise choice. Even if you have no dependents and considerable savings, life insurance products can end up making things much easier in retirement. And, considering that you can withdraw from or borrow against the cash value of some permanent insurance options, the security created by a life policy is typically well worth its cost.
Death is one of the only things in life that’s guaranteed. The last thing you want is to leave your loved ones with a bill for your funeral expenses or tax liability on their inheritance.
Both term and permanent life insurance options can be used to help:
Outside of the more apparent benefits, a life policy can also help fund the buyout of a deceased partner’s ownership share in a business. It can also help you leave a legacy impact on a charitable cause that is near and dear to you.
Though it’s impossible to quote an exact price on a life insurance policy without first getting to know more about your specific needs, Higginbotham is committed to getting you the coverage you need at a price that makes sense for your budget. Our goal is to go well beyond what you’d expect from an insurance broker, not only meeting your life insurance needs and expectations but striving to exceed them at every opportunity.
When planning your life insurance plan, we carefully consider factors such as:
Then, we explain your coverage options, advise you on the best fit for your circumstances and help walk you through your policy purchase.
While it’s difficult to answer this question accurately before getting to know you, several crucial considerations should go into the process of purchasing a life insurance policy.
Some examples of things to think about when planning life insurance coverage include:
This list isn’t exhaustive. You may also need to consider the needs of a business partner, charity or another individual outside your immediate family when selecting a plan.
Riders are additional benefits to a life insurance policy beyond the policy’s death benefit. While there are many rider options, some of the most common include:
A great plan starts with a conversation. Let’s talk about what you need.
Investment advisory products and services offered through Lion Street Advisors, LLC (LSA), an investment adviser registered with the SEC Higginbotham Financial, and LSA are not affiliated. LSA does not provide tax or legal advice. This site is published for residents of the United States only. Representatives may only conduct business with residents of the states and jurisdictions in which they are properly registered. Therefore, a response to a request for information may be delayed until appropriate registration is obtained or exemption from registration is determined. Not all of services referenced on this site are available in every state and through every advisor listed. Lion Street Advisors.
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