How Life Insurance Can Buy You a House Without Your Having to Die First
When most people think of life insurance they only think in terms of the policy’s pay-out after they die. But did you know that a whole life insurance policy can help you buy a house or pay for a college education for your kids while you’re still around to enjoy it?
This particular benefit is only available if you buy a whole life policy rather than term insurance and is one of the reasons that many people choose a whole life policy over a term policy even though whole life insurance quotes are always higher than term life insurance quotes for equal-size policies.
When you get a term life insurance rate quote the premium you pay all goes toward covering your policy’s pay-out should you die during the term of the policy. But when you get a whole life insurance quote a portion of the monthly premium you’re required to pay goes into a life insurance savings account.
Over time the money in this forced savings account can really add up. In fact, it can be enough to make a down payment on a home, pay for a child’s college tuition, or take a round-the-word cruise. How you use this money is entirely up to you.
You can borrow money against the value in your life insurance savings plan at extremely low rates. And you never have to pay this money back if you don’t want to. There is a cost, however.
When you die any un-repaid loans that you’ve taken out against the value of your whole life insurance policy are deducted from the pay-out that your heirs receive. So if you’ve borrowed $50,000 against a $200,000 whole life policy and you haven’t repaid the loan at the time of your death, your heirs will receive only $150,000 from your policy.
As we mentioned before, whole life insurance rate quotes are higher than term life insurance rates for the same size policy. However, there is a way for you to save quite a bit if you decide that a whole life policy is right for you. Simply get your whole life insurance quote online.
Online life insurance rates simply can’t be beat. Why? Because online life insurance agents don’t have the same high overhead that more traditional insurance agents have. Therefore they can charge you less and still make the same profit.
So compare both term life insurance quotes and whole life insurance quotes but remember that if you purchase a whole life policy you will also be investing in a forced savings plan that could help you purchase a home or pay for other needed expenses down the line.
But regardless of what choice you make – whole life or term – keep in mind that you can save a bundle of cash each and every month simply by getting your life insurance quote online and then purchasing online life insurance.
Isn’t it nice to know that you can offer your loved ones peace of mind while at the same time saving for future needs while you’re still alive and to know that you are saving a boatload of money each and every month all at the same time?