Here at Melton-McFadden Agency, we offer several different types of life insurance policies in Michigan to individuals and families based on their specific needs. These include term life, whole life, universal life, variable whole life, and variable universal life policies, each of which comes with its own advantages.
Term life insurance, also known as term assurance, is life insurance that offers coverage set at a fixed rate of payments for a limited term, with affordable rates available. Following the relevant term, the rate of the premiums will likely change, but it remains one of the most affordable forms of life insurance available if you’re looking for a substantial death benefit with a fixed rate over a certain period of time.
Universal life insurance is a kind of cash value life insurance where the excess of premium payments higher than the current cost of insurance is credited to the policy’s cash value, which is credited every month with interest.
Also known as whole of life insurance, whole life insurance is a policy that guarantees coverage for the insured party’s entire lifetime, as long as premiums are paid when due. The insurer agrees to pay the death benefit of the policy to designated beneficiaries following the insured’s death.
Variable whole life insurance policies are permanent life insurance policies that include an investment component in the form of a cash value account, which the insured party invests in several available sub-accounts. The main appeal of this policy is the fact that there are certain tax benefits that come with it, as the annual growth of the cash value account is non-taxable.
The basic principles of this are the same as variable whole life insurance, but the “universal” aspect applies to the level of flexibility that the owner has when making payments on premiums. Premiums can be anywhere from nothing to a maximum that the Internal Revenue Code has in place.
If you would like to get a quote for any of these types of life insurance policies in Michigan for you and your family, contact Melton-McFadden Agency today and we’ll provide you with a policy that works best for you, based on your specific needs. We can also discuss other types of insurance coverage that we can provide.
