Life Insurance

Webb Insurance offers a wide variety of life insurance options.  There are several different types of life insurance, each with its’ own unique set of attributes and purposes.

Types of Life Insurance:

Whole Life Insurance has a death benefit as well as a cash value feature.  A portion of each premium is set aside to increase the cash value of the policy – the cash can be redeemed at termination of the policy or loaned to the policyholder.

Universal Life Insurance has a death benefit as a well as a limited cash value feature.  Universal Life Insurance allows access to the cash via a loan or termination of the policy.  Universal Life Insurance typically accumulates cash slowly, the primary feature is the death benefit.

Term Life Insurance is the most popular form of insurance.  Term insurance is purchased for a specified period of time, typically 10, 20, or 30 years.  The death benefit is payable upon death of the insured.   There is no cash value feature with term insurance.

Uses of Life Insurance:

Life Insurance is used to provide funding, after the death of the insured, for obligations that will need to be settled.

For a family, life insurance can provide funding to pay off debt (mortgage, auto) as well as provision of funding for children’s education – think college.  Life insurance can also provide funds for the family to continue living a similar lifestyle after the death of the insured, offering a pool of money to help with living expenses and changes in costs upon passing of the insured.

In a business, life insurance has many uses.  One of the more popular uses is to fund a buy-sell agreement.  Life insurance provides the funds for a business to redeem the share of the business from the decedent’s estate without creating an undue financial strain on the business to fund the buyout with a loan or internal cash.

Please contact us with any questions you may have.  We would love to get to know you and your specific situation so we can tailor a solution for you.

Note:  This page is a brief summary and is not meant to be a comprehensive analysis of types and uses for life insurance, it is meant to be a broad overview for educational purposes.