Whole Life Insurance Quotes

Whole Life Insurance Quotes

Whole life insurance quotes are a great way to compare which life insurance plans are available and which coverage plans may work for you. Although many individuals feel overwhelmed when shopping for whole life insurance quotes, the search for the right plan does not have to be complicated. Also known as traditional life insurance, whole life insurance offers coverage for a person’s lifetime, without expiration or limited time periods. There are several different types of policies that fall under the whole life category. A closer look at the three main types of coverage can help individuals get the best whole life insurance quotes for their needs.

Ordinary or Straight Whole Life Insurance Quotes

Ordinary or straight life insurance is based on the principle that policy owner has the option to pay the premium throughout his or her lifetime. Some individuals choose this option, while others use the dividends to pay for the policy, then “surrender” the policy in exchange for another policy or for a retirement annuity. By comparing ordinary whole life insurance quotes, one can find a flexible plan that does not legally obligate lifetime premium payments. This type of plan also has a steady cash value accumulation formulated to reach its face value when the insured person reaches 100 years old. As a result, whole life insurance quotes have level premium rates instead of variation.

In addition, ordinary whole life policies are distinct because they do not need renewal. Ordinary whole life is considered permanent insurance. Another advantage of ordinary or straight whole life plans is the buildup of real case value over time. Over the life of the contract, the policy accumulates cash value, usually with a cash surrender value that makes it an excellent form of savings. The permanent protection and cash savings characteristics of whole life policies make them some of the most popular plans people choose year after year.

Limited Pay and Single Premium Life Insurance Quotes

Limited pay policies and single premium policies are two other types of plans one might encounter when comparing whole life insurance quotes. Limited pay policies are considered the most savings-friendly of whole life insurance policies. The policy owner can also choose to stop making premium payments at set period of time without losing the value of the coverage. The most popular forms of limited pay policies include 10-payment life, 20-payment life, and life paid-up at age 65 plans. A person who choose the paid-up at age 65 plan, for example, will stop making premium payments at the standard retirement age. Rates for whole life insurance quotes which involve limited pay plans will reflect the fact that premiums have a set expiration date.

Single life premium plans lets an individual make one lump premium payment at the start of the plan. As a result of the single payment, the policy is considered paid off for life. This unique plan is popular because it results in buildup of tax-exempt cash value. This is especially desirable when rates are low, and in turn, the policy owner can borrow from it at a below-market interest rate. There are fewer fees or commissions due to lack of regular premiums. Individuals can make plans for use of cash at a later date or even give it as a gift or payout.

Modified and Graded Premium Whole Life Insurance Quotes

Modified and graded premium plans are the other major types of plans one may encounter when comparing whole life insurance quotes online. These two plans are considered the middle ground between traditional ordinary plans and modified term life insurance plans. These two plans typically have a lower starting premium than ordinary and straight whole life insurance. In addition, the premium increase is not the same as a convertible term life plan, but modified and graded premium plans let the insured earn cash value. Whole life insurance quotes for modified whole life and graded premium whole life represent the affordable middle ground for those who need permanent coverage at a lower cost.

 

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