The basic difference between term and whole life insurance is this: A term policy is life coverage only. On the death of the insured it pays the face amount of the policy to the named beneficiary. You can buy term for periods of one year to 30 years. Whole life insurance, on the other hand, combines a term policy with an investment component. The investment could be in bonds and money-market instruments or stocks. The policy builds cash value that you can borrow against. This basic conflict over which type is best is important because it revolves around the first and most important decision you must make when buying life insurance: term, whole life or a combination of both?
Archive for the 'Insurance' CategoryPage 89 of 89
Oct 21st 2006
Your car is likely one of the most expensive things you own. Insurance protects your investment and guarantees you a way of coping with the expense of accidents, vandalism or theft. It is a contract between you and the insurance company. You agree to pay the premium and the insurance company agrees to pay your losses as defined in your policy. It also secures your financial responsibility to the institution lending you money to buy your vehicle.
Auto insurance can be confusing for most consumers; there are so many different types of insurance and it can be difficult to determine the type of coverage you’re required to carry versus the types of coverage that you really should carry in order to protect yourself but that are not required.
Auto insurance provides property, liability and medical coverage: