Calling all the insurance brokers in Edmonton for the best quotes on life insurance policies can leave you feeling overwhelmed. Which is the most suitable plan for young people? What’s best in the long term? Which plan offers the best investment value? Choosing the right plan is key to getting the coverage you and your loved ones need. Keep reading to find out more about different types of policies and how to choose the one that’s right for you.
Main types of policies
When it comes right down to it, there are two main forms of life insurance: term and permanent. Of these two main types, insurance brokers offer different plans designed for different needs.
As a general rule, you should choose a term policy to cover short term needs and a permanent policy to cover permanent needs. Short term needs include things like covering your mortgage, business obligations or caring for young children. Permanent needs include things like providing income to a surviving spouse or paying for funeral costs and other final expenses.
Term insurance policies
Term life insurance offers insurance for a set period of time, or term. These terms can be for 10, 20 or 30 years. Term policies are the most affordable form of coverage but offer no cash value. Insurance brokers in Edmonton can help you decide if a term policy is right for you.
Permanent life insurance policies
Unlike term policies, permanent policies don’t expire and can provide protection throughout your lifetime. They also have the benefit of having cash value, which you can withdraw. Their biggest disadvantage is that they come with a higher initial cost and aren’t suitable for short term needs.
Whole Life policies provide protection for the duration of the policy holder’s life and premiums stay the same regardless of any changes in health. They also typically provide guaranteed cash values and death benefits.
Universal life policies are made up of both life insurance and investment accounts. They’re more flexible than whole life plans but their value can fluctuate over the course of the policy holder’s lifetime.
Speak to one of the friendly and professional insurance brokers at HDF Insurance in Edmonton to learn more about building the perfect policy. In most cases, a combination of term and permanent insurance will offer you the most comprehensive form of coverage. Contact us today for your free life, auto, home, business, health and travel insurance quotes.