Life Insurance

Life insurance isn’t a fun thing to think about, and it may seem like an unnecessary expense. But if you have people who depend on you for financial support, then life insurance is really about protecting them in case something happens to you – your designated beneficiary would collect a financial benefit upon your death. Life insurance can be confusing, so here’s a rundown of the basics.

Types of Life Insurance

Term: This is the simplest and generally the cheapest form. You buy coverage for a specific period of time. It can usually be renewed, but premiums will increase based on age and health factors. There is no cash value.

All other types of life insurance are permanent, but there are several varieties. They all include a savings element that builds cash value, in addition to the death benefit. Once that cash value accumulates, it is accessible to the policyholder tax-free. The following are some of the common types of permanent life insurance.

Whole Life: You purchase this policy to cover your entire life, as long as you keep paying premiums. Premiums remain constant throughout the policy, and the company invests a portion of your premium that becomes the cash value. These are more expensive than term policies in the early years, but they even out because the premium does not increase.

Universal Life: This policy is similar to whole life, but has the potential for higher earnings on the savings component. It is more flexible in terms of changing premiums and face value throughout the policy. There is usually a guaranteed return on the cash value. Disadvantages include higher fees and the possibility of increasing premiums.

Variable Life: A variable life policy generally has fixed premiums, and you have control over the investment decisions for the cash value portion. However, this is riskier because there is not guarantee for the cash value.

If you have people who depend on you for financial support, it’s important to make an educated decision about life insurance options.

How Much to Buy?

Many people decide based on an income replacement calculation, between 5 and 10 times the amount of your current income.

Think about your personal circumstances: Is yours the sole income in your household? Are there other expenses, such as college tuition, that may arise in the future? Don’t forget to include potential medical and funeral costs. Above everything, you want to be sure your family does not get stuck with bills, debts or expenses that they cannot afford. Depending on your needs, you may want to consider buying supplementary coverage beyond what offers.

Why Purchase Now?

Buying life insurance may seem unmanageable right now, but it could be a smart decision. Unlike many other benefits, life insurance is actually more affordable right now than in the recent past. Plus, during this tough economic period, ensuring that your family will be financially secure in the future is more important than ever.

If you have more questions about our life insurance benefit, please contact us.

Jacob Dybala June 2, 2017 No Comments

Storm Damage and Insurance: What to Know

Chicago Area Storm Damage Can Wreak Havoc on the Uninsured

damage from stormSummer fun is bigger in Chicagoland. But summer storms are bigger here, too. Heavy wind, hail, and rain can do more than just ruin your summer plans. They have the potential to put you and your family into a financial bind. Snyder Insurance & Financial Services has been part of the greater Chicago community for over thirty-five years. So we know how important it is to review you policy well before storm damage happens, not after. It may not be the first thing you want do on a beautiful summer day, but now is the time to take a look at your homeowners’ insurance package. And, while you’re at it, review your auto insurance, too! Read more

Jacob Dybala May 26, 2017 No Comments

Storm Preparedness 101

Storm Preparedness Is The First Step For A Worry Free Summer

homeownersThe Chicago area is renowned for fantastic summer activities. From boating to festivals to gala events, Chicagoland and the surrounding area just can’t be beat. But there is a flip side to this. As renowned as our summer fun is, our summer storms can be just as infamous. That’s why it’s important to have a storm preparedness plan in place, and to have it in place right now before bad weather rolls in. That way, you can relax and enjoy all the fun knowing you have a solid storm emergency plan in place.

Snyder Insurance and Financial Services knows a thing or two about the subject. For over 35 years, we’ve been helping homeowners, businesses, and other Chicagoans to be prepared. To help you focus more on the great things our summers have to offer, here are some of the essentials for storm preparedness. Read more