Thursday, June 25, 2009
Different types of health insurance plans
There are different types of health insurance plans .These plans are mainly designed to provide health care benefits to the individual to cover some portion of the cost in times of emergencies like accidents, serious injuries or life-threatening diseases. If you are looking for a discount in medical treatments, then Preferred Provider Organization (PPO) provides access to some of the best health care specialists and hospitals which are registered with them. There are many facilities and services which are offered at discount rates that are available for families and individuals under this scheme. Health Maintenance Organizations (HMO) is a type of insurance plan that provides benefits in the form of reduced health care cost on annual checks ups and other medical treatments Though you have to pay a small portion of your medical bill, this healthcare plan can prove to be little expensive. However, you can get access to specialists using references provided by your healthcare physician. There are Group insurance plans, which are provided by the employer to provide health care benefits to the employees. This type of plan provide access to relatively low costs of medical treatments. Here individuals and families can enjoy the health care benefits of this. Some health insurance companies also offer short-term healthcare policies which are meant for a specified period and most of them do not provide cover against pre-existing medical conditions. You also have different options to choose from when it comes to your health insurance plan coverage that comes with costs and benefits and you can choose what suits you best after doing some careful research. Once you know the different types of medical insurance cover that are available, then you can review what suits you best, based on your specific circumstances and needs. During this process, you can contact a few companies so that you can find out which one offer cheap health insurance For the best companies that can give you cheap health insurance that come with different types of health insurance package that will meet your needs
Saving Money when Buying Life Insurance
Everyone likes to save money but it's important to keep in mind lower premiums may not be the best way to save money in the long term when buying life insurance. The first consideration is there are two quite different types of life insurance - term life insurance and permanent life insurance -- and multiple ways a policy can be purchased. This complexity basically demands the buyer to do some background research, and carefully compare life insurance quotes. Life insurance is not one-size-fits-all and when comparing your options make certain you are comparing apples-to-apples to get the best low cost life insurance.
Before you buy a life insurance policy you should decide what type of policy is best for you and focus your efforts on financially sound life insurance companies. Check each company out with independent insurance company rating agencies and eliminate any that don't get high ratings. The obvious step in terms of saving money is to take your time and compare life insurance quotes from a number of companies to get an idea of the range in costs. These numbers can vary by hundreds of dollars.
You should find out if you qualify for group life insurance through an employer or other organization because group rates are often much less expensive than individual life insurance. Group life insurance also comes with the benefit of possibly not requiring a health check to qualify for the plan. Another benefit is your premiums may be deducted from your paycheck so you're less likely to miss a payment.
Once you are ready to buy life insurance go ahead and check around one more time to compare life insurance quotes from a number of insurance providers your previous research determined are financially sound. Once again the same policy can cost hundreds of dollars more or less from different companies. Here is where the initial low premium can catch you. Some policies have low premiums that rapidly increase over time, and other life insurance policies have higher upfront premiums, but don't rise as dramatically. Look into the big picture to see which policy actually costs more after five year or longer. You might find the more expensive policy initially is significantly cheaper over time.
Two more places to save money with life insurance is in discounts. Look for premium discounts that kick in at certain coverage levels, such as a discount that makes $250,000 in coverage actually less expensive than $200,000 in coverage due to a premium discount. The second place is how you pay your premium. Paying yearly is often less expensive than paying more frequently, such as paying a monthly life insurance premium.
Before you buy a life insurance policy you should decide what type of policy is best for you and focus your efforts on financially sound life insurance companies. Check each company out with independent insurance company rating agencies and eliminate any that don't get high ratings. The obvious step in terms of saving money is to take your time and compare life insurance quotes from a number of companies to get an idea of the range in costs. These numbers can vary by hundreds of dollars.
You should find out if you qualify for group life insurance through an employer or other organization because group rates are often much less expensive than individual life insurance. Group life insurance also comes with the benefit of possibly not requiring a health check to qualify for the plan. Another benefit is your premiums may be deducted from your paycheck so you're less likely to miss a payment.
Once you are ready to buy life insurance go ahead and check around one more time to compare life insurance quotes from a number of insurance providers your previous research determined are financially sound. Once again the same policy can cost hundreds of dollars more or less from different companies. Here is where the initial low premium can catch you. Some policies have low premiums that rapidly increase over time, and other life insurance policies have higher upfront premiums, but don't rise as dramatically. Look into the big picture to see which policy actually costs more after five year or longer. You might find the more expensive policy initially is significantly cheaper over time.
Two more places to save money with life insurance is in discounts. Look for premium discounts that kick in at certain coverage levels, such as a discount that makes $250,000 in coverage actually less expensive than $200,000 in coverage due to a premium discount. The second place is how you pay your premium. Paying yearly is often less expensive than paying more frequently, such as paying a monthly life insurance premium.
5 Types of Mortgage Loans and Their Advantages
When opting for a mortgage loan, make sure you are not being pressurized and you have fully realized your financial position. Once you have determined that, get to know what kinds of mortgage loans are available in the market? What will suit best for you? And what maximum benefits you can excavate out of them? Here are some advantages these five major types of mortgage loans can give you:
Fixed Rate Mortgage
A fixed loan rate remains unchanged throughout the life of mortgage. The payments you make remain the same every month. This helps in making you organize your budget accordingly, giving you less worries. This loan is the safest kind of mortgage loans. A fixed rate loan involves the following:
•30 Year Fixed Rate Mortgages (360 Installments)
•15 Year Fixed Rate Mortgages (180 Installments)
•Biweekly Mortgages
•Convertible Mortgages
The traditional fixed loan rate may still be the best mortgage for your situation. One benefit of fixed loans is that you have to pay lower monthly payments, while providing for an unchanging monthly payment schedule. Many lenders may also offer 25, 20, to about 40 year term mortgages. But this can end you up paying more interest rate than usual.
Adjustable Rate Mortgages
As the name tells, these loans are quite flexible in nature and adjust to the latest market trends. The best thing about such loans is that they are bendable to your situation. You can select the mortgage loan you require when interest rates are quite low and get it adjusted throughout the loan term.
ARM's have interest rates that change according to financial indexes determined by the current market. This indicates your payments can rise or fall depending change in index. This may often lead to unsteady payments so the home buyer must be prepared in advance. If your financial situation forces you to choose this kind of loan, you don't have to worry, you can always re-settle the terms or refinance later to get a much better deal.
FHA Loans
Preference towards FHA (Federal Housing Administration) loans is increasing day by day. The reason is that they secure and reliable, both in terms of borrower as well as the lender. These loans are insured by the US Government, therefore borrowers find it convenient than other conventional loans, and for lenders it reduces borrower's risk of default payments.
If you are looking to purchase home with the lowest possible down payment, or your credit is not perfect, or you want to refinance your current mortgage - FHA loans will be a sensible option to make. FHA Loans have:
•Low down payments
•Low closing costs
•Low mortgage insurance
•No credit score requirements
•Easy terms and conditions
VA Loans
A VA (Veterans Administration) loan provides low-cost insured home mortgage loans. Whether you're buying a home or want or refinance your mortgage, a VA mortgage loan might help. However, to qualify for a VA loan, you must be a veteran, military-related individual or their spouse. VA mortgage loans offer many benefits and protections that other loans don't, including:
•Credit Flexibility
•Great Interest Rates
•No Down Payment
•No Mortgage Insurance
• Low closing costs
Reverse Mortgage
A reverse mortgage is a loan made to older Americans who want to obtain equity from their homes in the form of cash. These loans are basically intended for retired people who may need the money to enhance retirement pensions, Social Security, or for medical purposes.
The advantage of such a loan is that of receiving a monthly tax-free income that is available for life or until the house is sold and the homeowner moves. The program of payments depends on the value of the home and the ages of the owners.
About Author:
Bryan Williams is an expert business consultant, and specializes in web based business. He has spent years working with outsourcing and financial companies and. In financial services he can give his expert opinion about mortgage loans, especially FHA mortgage loans and VA mortgage loans.
Fixed Rate Mortgage
A fixed loan rate remains unchanged throughout the life of mortgage. The payments you make remain the same every month. This helps in making you organize your budget accordingly, giving you less worries. This loan is the safest kind of mortgage loans. A fixed rate loan involves the following:
•30 Year Fixed Rate Mortgages (360 Installments)
•15 Year Fixed Rate Mortgages (180 Installments)
•Biweekly Mortgages
•Convertible Mortgages
The traditional fixed loan rate may still be the best mortgage for your situation. One benefit of fixed loans is that you have to pay lower monthly payments, while providing for an unchanging monthly payment schedule. Many lenders may also offer 25, 20, to about 40 year term mortgages. But this can end you up paying more interest rate than usual.
Adjustable Rate Mortgages
As the name tells, these loans are quite flexible in nature and adjust to the latest market trends. The best thing about such loans is that they are bendable to your situation. You can select the mortgage loan you require when interest rates are quite low and get it adjusted throughout the loan term.
ARM's have interest rates that change according to financial indexes determined by the current market. This indicates your payments can rise or fall depending change in index. This may often lead to unsteady payments so the home buyer must be prepared in advance. If your financial situation forces you to choose this kind of loan, you don't have to worry, you can always re-settle the terms or refinance later to get a much better deal.
FHA Loans
Preference towards FHA (Federal Housing Administration) loans is increasing day by day. The reason is that they secure and reliable, both in terms of borrower as well as the lender. These loans are insured by the US Government, therefore borrowers find it convenient than other conventional loans, and for lenders it reduces borrower's risk of default payments.
If you are looking to purchase home with the lowest possible down payment, or your credit is not perfect, or you want to refinance your current mortgage - FHA loans will be a sensible option to make. FHA Loans have:
•Low down payments
•Low closing costs
•Low mortgage insurance
•No credit score requirements
•Easy terms and conditions
VA Loans
A VA (Veterans Administration) loan provides low-cost insured home mortgage loans. Whether you're buying a home or want or refinance your mortgage, a VA mortgage loan might help. However, to qualify for a VA loan, you must be a veteran, military-related individual or their spouse. VA mortgage loans offer many benefits and protections that other loans don't, including:
•Credit Flexibility
•Great Interest Rates
•No Down Payment
•No Mortgage Insurance
• Low closing costs
Reverse Mortgage
A reverse mortgage is a loan made to older Americans who want to obtain equity from their homes in the form of cash. These loans are basically intended for retired people who may need the money to enhance retirement pensions, Social Security, or for medical purposes.
The advantage of such a loan is that of receiving a monthly tax-free income that is available for life or until the house is sold and the homeowner moves. The program of payments depends on the value of the home and the ages of the owners.
About Author:
Bryan Williams is an expert business consultant, and specializes in web based business. He has spent years working with outsourcing and financial companies and. In financial services he can give his expert opinion about mortgage loans, especially FHA mortgage loans and VA mortgage loans.
Tuesday, June 23, 2009
Whole vs Term Life Insurance: Cash Value
Whole vs Term Life Insurance is one of the most commonly debated topics in the minds of those first looking at buying life insurance coverage. It's a very common question that agents hear all the time. I'll address the differences between the two types of policies and also discuss cash values and how they benefit you in the future.
Whole life can best be defined as "permanent life insurance coverage". Some call it "Straight Life" or "Continuous Premium". There are three main benefits to Whole Life...
Guaranteed Premiums
With Whole Life, your monthly, quarterly or annual premiums NEVER go up. They stay the same for as long as you are living.
Guaranteed Death Benefit
The amount of money paid to your beneficiaries NEVER decreases, for as long as you live.
Guaranteed Cash Value
Whole life policies build cash value that can later be withdrawn, loaned against or left to simply build with compound interest. The interest rate is guaranteed and varies from company to company.
The above benefits of Whole life differ from Term insurance...
Term insurance is temporary insurance coverage that is only for the specified length of time that the policy is in force. This is commonly 1 year (Annual Renewable Term) or 5RT, 10RT, 20RT and 30RT. These policies are good if you need extra coverage for a specified period of time. They are not however, a low cost permanent solution. They provide only a guaranteed death benefit and builds no cash value whatsoever. Term insurance is good for adding extra death benefits to a permanent (whole life) insurance policy.
Whole life can best be defined as "permanent life insurance coverage". Some call it "Straight Life" or "Continuous Premium". There are three main benefits to Whole Life...
Guaranteed Premiums
With Whole Life, your monthly, quarterly or annual premiums NEVER go up. They stay the same for as long as you are living.
Guaranteed Death Benefit
The amount of money paid to your beneficiaries NEVER decreases, for as long as you live.
Guaranteed Cash Value
Whole life policies build cash value that can later be withdrawn, loaned against or left to simply build with compound interest. The interest rate is guaranteed and varies from company to company.
The above benefits of Whole life differ from Term insurance...
Term insurance is temporary insurance coverage that is only for the specified length of time that the policy is in force. This is commonly 1 year (Annual Renewable Term) or 5RT, 10RT, 20RT and 30RT. These policies are good if you need extra coverage for a specified period of time. They are not however, a low cost permanent solution. They provide only a guaranteed death benefit and builds no cash value whatsoever. Term insurance is good for adding extra death benefits to a permanent (whole life) insurance policy.
The Anatomy of Life Insurance
Apart from food, shelter, clothing, education and the opportunities to living a good life, life insurance is an important thing you can give your children when you pass away. No one can claim otherwise as death is a certain event, that a life insurance keeps your dreams for your family afloat when you leave them in this world we live in. Hence, it is important to understand the ins and outs of life insurance and what benefits can be derived from it.
A life insurance policy guarantees a certain amount to your family or any beneficiary/beneficiaries upon your death. For such, you will be paying a monthly premium for the said life insurance policy, with premiums varying depending on your age, gender, occupation, medical history and other factors specified. Other types of life insurance provide benefits for the policy holder and the family while the former is still alive, a helpful aid to your retirement and for your kid's educational purposes.
Many would ask, "Do I need life insurance?" The answer is always yes. Your monthly income provides for your family's food, clothing, shelter, education, perks, vacations and many other things. What if you lose your monthly income? See, no matter how outstanding your work performance is or how good business is today, there's a multitude of causes out there that may affect the stability and security you provide your family. That's why you need life insurance.
Now that you know how important life insurance is, be sure to get the best term at a cost you can readily sacrifice for. Below are the types of insurance and their characteristics:
Term Life Insurance is the least expensive and the simplest type, with their policies that do not accrue cash value and are fixed for a given period. Premiums for this type are lowest when you are young and increases as you age. Term life insurance can also be renewed and its policy pays your beneficiary a fixed amount after your death for the period that your policy stated.
Whole life insurance provides cash value and over time, builds up a cash value on tax-deferred basis. Some insurance companies provide annual dividends as well. Whole life insurance is sought for its added benefits of cash accessibility to its plan holder or beneficiaries even before the former's demise. It is also usually used as a supplement to retirement funds or pay for the kids' college education.
Universal life insurance is a flexible type of plan with policies accruing interest and allowing policy holder to adjust death benefits and premiums to current needs. This life insurance type stays in effect as long as the plan holder's cash value can cover policy costs.
Variable life insurance is a scheme for folks who want to tie the performance of their insurance policy to the movement of the financial market. As a policy holder of a variable life insurance, you get to choose how the money can be invested and the same money will have the chance to increase, depending on the market movement.
There are tips also to getting the best choice for life insurance. One is not to buy if not needed and get hold only of policies that is actually needed to keep your family financially secure. Also, shop around for life insurance policies with competitive price and while at it, don't smoke or quit as this will increase your rates. Look for guaranteed and renewable policies when planning to get a term life insurance so you will not have to waste time shopping around. Buy only optional forms of coverage such as riders if needed. Lastly, always shop around, compare rates and coverage. There are thousands of life insurance companies to choose from so know more about your top choices and hit the right mark in getting the low cost but the best life insurance plan.
A life insurance policy guarantees a certain amount to your family or any beneficiary/beneficiaries upon your death. For such, you will be paying a monthly premium for the said life insurance policy, with premiums varying depending on your age, gender, occupation, medical history and other factors specified. Other types of life insurance provide benefits for the policy holder and the family while the former is still alive, a helpful aid to your retirement and for your kid's educational purposes.
Many would ask, "Do I need life insurance?" The answer is always yes. Your monthly income provides for your family's food, clothing, shelter, education, perks, vacations and many other things. What if you lose your monthly income? See, no matter how outstanding your work performance is or how good business is today, there's a multitude of causes out there that may affect the stability and security you provide your family. That's why you need life insurance.
Now that you know how important life insurance is, be sure to get the best term at a cost you can readily sacrifice for. Below are the types of insurance and their characteristics:
Term Life Insurance is the least expensive and the simplest type, with their policies that do not accrue cash value and are fixed for a given period. Premiums for this type are lowest when you are young and increases as you age. Term life insurance can also be renewed and its policy pays your beneficiary a fixed amount after your death for the period that your policy stated.
Whole life insurance provides cash value and over time, builds up a cash value on tax-deferred basis. Some insurance companies provide annual dividends as well. Whole life insurance is sought for its added benefits of cash accessibility to its plan holder or beneficiaries even before the former's demise. It is also usually used as a supplement to retirement funds or pay for the kids' college education.
Universal life insurance is a flexible type of plan with policies accruing interest and allowing policy holder to adjust death benefits and premiums to current needs. This life insurance type stays in effect as long as the plan holder's cash value can cover policy costs.
Variable life insurance is a scheme for folks who want to tie the performance of their insurance policy to the movement of the financial market. As a policy holder of a variable life insurance, you get to choose how the money can be invested and the same money will have the chance to increase, depending on the market movement.
There are tips also to getting the best choice for life insurance. One is not to buy if not needed and get hold only of policies that is actually needed to keep your family financially secure. Also, shop around for life insurance policies with competitive price and while at it, don't smoke or quit as this will increase your rates. Look for guaranteed and renewable policies when planning to get a term life insurance so you will not have to waste time shopping around. Buy only optional forms of coverage such as riders if needed. Lastly, always shop around, compare rates and coverage. There are thousands of life insurance companies to choose from so know more about your top choices and hit the right mark in getting the low cost but the best life insurance plan.
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