Whole Life Insurance Arizona AZ

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Reader’s Question:

I am planning to avail a whole life insurance in Arizona. Are there any features to know or to consider?

Jabez

Scottsdale, AZ

Thanks for asking, Jabez.

Yes, availing a whole life insurance policy in Arizona is really worth a time discussing and you must also consider some points. Just to give you an idea, a whole life insurance policy is an insurance policy that combines life insurance with savings. It can remain in force for the insured person’s whole life, thus called whole life insurance. The payments or premiums for “whole life Insurance” are higher than for a term life insurance policy. Whole life insurance costs more because the difference among the two payments goes into a savings or investment account at the insurance company. As you may have guessed, you have no control over the way the insurance company invests your payment. Nevertheless, you also do not have to take on the responsibility of allocating your savings in an appropriate way. You also do not have the flexibility of variable premiums if you have a whole life Insurance policy.

Whole life Insurance policies can be complicated! There are ample of insurance agents who are happy to help you, since such policies provide insurance agents with a good commission.

Keep in mind though that you should sit down with a licensed agent to discuss “whole life insurance” details…and you better ask all the questions that pop on your mind. “Whole life Insurance” may make sense in certain instances, especially in proper estate planning. So, rather than discussing “whole life insurance” with an insurance agent, it may be better to discuss also such policies with another type of financial professional like a financial planner or a tax professional who specializes in estate planning.