Virginia Life Insurance Rates
The death of a family member will not only cause emotional stress for loved ones, but if the individual who died was the main income provider for the family there may also be a financial struggle. Although death is inevitable, and not much can be done after the event, a little financial planning during your lifetime can make a huge difference once you’re gone. This is typically why purchasing life insurance is so important, and this is no different in the state of Virginia.
Purchasing life insurance in Virginia is a smart move and can ensure that your loved ones are protected when you are no longer around. Virginia is currently ranked 28th out of the 50 states and the District of Columbia in life expectancy, with an average life expectancy of 76.8 years. It is estimated that almost 0.8% of Virginia residents aged between 55 and 64 will pass away every year. This figure more than doubles to 2% of those aged between 65 and 74, and it is anticipated that well over 5% of Virginia residents aged 75 to 84 die every year.
There are two main types of life insurance available in Virginia, namely term and permanent life insurance. A term life insurance policy will provide coverage for a limited period of time, whereas a permanent life insurance policy will offer coverage throughout an individual’s life.
Term life insurance will typically have a lower premium, and this is because it provides coverage for a limited period of time. Term life insurance is generally better to meet short-term goals and can provide peace of mind in a time when the children of a family are young and the family still has a mortgage to pay off.
The premiums of a permanent life insurance policy will be invested, and therefore a cash value will usually grow alongside the policy. Many companies also offer the facility to take out a loan against a permanent life insurance policy. The cash value is often paid out in the form of dividends, and this is not something that is offered with a term insurance policy.
A term life insurance policy will typically be offered for a period of five, 10, and 20 or 30 years. There is the option to renew the policy if the policyholder outlives the term, although they should be aware that their premiums will be significantly higher, as they are now much older. The main benefit of a term life insurance policy is that the lower premiums make it easily affordable to have some form of life insurance.
The premiums of a permanent life insurance policy will generally be the same throughout the policyholder’s life. However, it must be said that the premiums will be far less expensive if an individual chooses to take out a policy while they are still young. Permanent life insurance is generally viewed as a wise investment as the cash value that is accumulated will be tax-free under present laws.
The rates of life insurance in Virginia will be calculated in much the same way as any other state. A life insurance company will usually want to know an applicant’s age, tobacco use, and any current health issues. From this information an initial quote can be provided, and if this is suitable for the applicant a more in-depth questionnaire will need to be completed.
Life insurance companies will want to know more about an individual’s medical history, and indeed that of their family. Life insurance rates may also be affected by a number of other factors, such as whether an individual participates in dangerous sports, an applicant’s alcohol use, and details about their current lifestyle.
The amount of life insurance required should take into consideration factors such as mortgages, credit cards and other debts that will need to be repaid, as well as a sufficient amount of money to ensure that an individual’s family can sustain their standard of living as it is now. Many industry experts claim that a life insurance policy should have a sum assured of somewhere between five and eight times your present annual income.
There are various companies which offer life insurance in Virginia, and although they offer the same types of life insurance, the premiums and other facilities available may vary depending on the insurer. This is why it is important to compare the quotes and rates from a number of different life insurance companies, and possibly one of the easiest ways to do this is to visit a price comparison website online. This will allow you to enter your personal details and then receive life insurance quotes from a number of different companies.