North Carolina Life Insurance Quotes
Purchasing life insurance is not something most people want to think about, however, from a financial perspective, it is the right thing to do for one’s loved ones. A life insurance policy will pretty much cover all the expenses pertaining to hospitalization, medical procedures, funeral expenses and other possible debts that the deceased may have left behind. As a rule of thumb, when you are purchasing insurance, it is highly advisable that you get as many quotes as possible in order to make sure that you are going to get the best deal.
Whole life versus term life insurance
First of all, if you are interested in purchasing life insurance you will need to consider whether you need a term life or a whole life insurance policy. As their names indicate, the term life insurance implies that you will be covered for a specific period of time, while the whole life insurance means that your policy will keep you covered until death. Both types of insurance policies have advantages and disadvantages and the only way you can determine which one is right for you is to think of the reason why you want life insurance in the first place.
If you are young and in perfect shape, or you are thinking of getting life insurance for your child, then you should consider permanent life insurance because this policy tends to build a good cash value over time. On the other hand, if you have passed your prime already, then it will be more financially prudent to opt for a term life insurance policy. Overall, experts advise most of the public to go for term life insurance except if they are extremely wealthy and want to use the life policy to pay off the estate taxes for their properties when they are deceased.
The actual cash value of the North Carolina life insurance policy
Besides the obvious cash benefit in case of death, you should know that life insurance gives you the options of borrowing money or even collecting cash upon surrendering a policy. According to North Carolina legislation, in the event that you are the direct beneficiary of any type of life insurance, you will not have to pay federal or income tax upon receiving the benefits when the person dies. If you are planning to make specific people beneficiaries under your insurance policy, they therefore do not have to pay tax on the income received and in addition, the insurance will ensure that all expenses are covered.
At the same time, for the duration of your life, if you need to borrow money from your life insurance policy, you will not need to pay any taxes. When you pass away, and the beneficiary claims the insurance, then the company will simply retain the money you borrowed. On the other hand, if you decide to cash surrender the policy, and receive more money back than you actually paid for your premiums, then you will need to know that the additional money is taxable. With reference to estate taxes imposed in North Carolina, the beneficiaries are not required to pay taxes if the estate value and death benefits are under five million dollars.
The easiest way to get life insurance quotes
If you are interested in purchasing life insurance, then the easiest way to get some quotes and a clue about the premium prices is to search online. Since most insurance companies in North Carolina have successfully launched their businesses on the internet, chances are, you will find almost all the insurance agents in your area online. All you need to do is type in ‘North Carolina’ and ‘life insurance’ in the search engine of your choice and you will find the companies’ websites as well as portals with a host of information.
Beside the fact that you will be able to find out more about the premiums, interest rates and benefits of purchasing from a certain company, you will also have the chance to purchase your life insurance online directly. Before you decide on the company and the method you are going to get your life insurance policy however, it is recommended that you read a few unbiased customer reviews as well.