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Whole Life Insurance Atlantic County New Jersey

Here is an article that gives a great explanation for different insurances. Our staff at Mehta would love to answer any questions you may have about your current life insurance policy or if you are seeking life insurance options.  Let us help you protect your family today.

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Whole Life Insurance: When do you need it?

Explore the difference between Term and Whole Life insurance

When making your life insurance decision, the main thing you need to know are the differences between term and whole life insurance. The easiest way to remember the difference is to think of term as temporary insurance and whole life as permanent insurance which remains in force until the day you die, or until you are 120 years of age, whichever comes first. In general it makes sense that a person would want “permanent” life insurance rather than something that will only last for a particular number of years, but your decision might not be quite that simple. It depends on why you need it and the amount of coverage you need.

People purchase Term insurance—which is usually in force for periods from 10 to 30 years—when they need a large face value for a limited time period. For example, you might have a large mortgage that would need to be paid   or children who are counting on you for college funding. You might have a spouse who is not able to replace your salary or a business partner who would need a large amount of money to pay off business debt or to train someone to take your place. In any of those scenarios, the need for large sums of life insurance would most likely be temporary. A term policy might be a perfect fit. It will not gain cash value, and you cannot borrow against it, but you can’t do those things with your car insurance either, and yet you still pay it. At the end of the agreed upon term, you will usually have the opportunity to convert part or all of the policy to permanent insurance or to renew it for a shorter term, and at a higher price.


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