Life Insurance Frequently Asked Questions

There are two main types: Term life insurance and Permanent life insurance.

Term life covers you for a set period (10, 20, or 30 years) and is generally more affordable.

Permanent life lasts your entire lifetime and can build cash value that you can borrow against.

The right choice depends on your budget, financial goals, and whether you need short-term protection or lifelong coverage.

A good rule of thumb is 10–15 times your annual income, but everyone’s needs are different. Consider your family’s living expenses, mortgage or debts, children’s education costs, and long-term financial goals. An agent can help you calculate the amount that makes sense for your situation.

Premiums are based on factors like:

Age and gender – younger and healthier people usually pay less.

Health history – existing medical conditions can raise rates.

Lifestyle and habits – smoking or high-risk hobbies may increase costs.

Coverage amount and policy type – larger benefits and permanent policies generally cost more.

The earlier you apply, the more affordable your premiums are likely to be.

Not always. Many traditional policies require a simple medical exam, but there are also no-exam options:

Simplified issue policies: No exam, just health questions.

Guaranteed issue policies: No exam, no questions, but usually higher premiums and lower coverage amounts.

Your agent can help compare the options and find the right fit for your needs.

Yes, with certain policies. Permanent life insurance often builds cash value that you can borrow against or withdraw. Some policies also include living benefit riders, which let you access part of the death benefit early if you face a serious illness. These features can give you added financial flexibility during your lifetime.