Category Archives: FAQ

Frequently asked questions about life insurance.

Is Rates4Term.com A Call Center?

No! And we aren’t owned by a big life insurance company the way that some of our competitors are either. We are a local insurance agency & financial planning firm located in Southern California. What this means is that our only priority is to service our clients. We work on your behalf to find the…

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Is Return of Premium (ROP) Term Insurance a good choice?

It can be. If you intend to keep your policy for the duration of the term, an ROP policy will return all of your premiums to you at the end of the level term period. This can be good if you know that you will keep your policy in force for the duration of this…

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Will I be able to switch to a permanent insurance policy later?

Many term insurance policies have what are called “conversion” options. This option allows you to convert your temporary (term) coverage into permanent (universal or whole life) coverage without providing evidence of insurability. Our agents can help you find a policy with conversion options.

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Which is better for me: Term Life Insurance, Universal Life Insurance or a Whole Life Insurance policy?

The answer to this question depends on a number of factors. Term Life Insurance policies are designed to provide coverage for a limited period of time (i.e, the “term”), while Universal Life Insurance and Whole Life Insurance policies are designed to provide coverage for your entire life. One of our agents can help you make…

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How accurate are the rates quoted on your website?

Our quoting engine is update continually as carriers modify their rates. Keep in mind, however, that the rates your see here may not be the rates that you actually pay because your health class may be different than what you used when you ran the quote.

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What is my health class?

There are a number of factors that go into life insurance rates. But once you get beyond age and tobacco use/non-use, there is perhaps nothing as important as your health classification. Life insurance companies generally have several rate classifications. At the healthiest (and least expensive) end of the spectrum is what insurance companies call “Preferred…

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How long do I want my coverage to last?

When you are buying life insurance, think about the specific reasons for buying it. Do you want to provide for your family in case something happens to you? Are you looking to create an estate to benefit your favorite charity? Would you like to know that the final expenses associated with your passing are covered…

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How much life insurance do I need?

There are a few different ways to decide how much life insurance you “need”. A good rule of thumb for many people is 10 to 20 times your gross annual income. This amount of coverage should be enough to replace our lost income should something happen to you. If you are younger, you will likely…

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Are Life Insurance Proceeds Taxable?

When I work with a new client, one of the first things that I do is to help them determine how much life insurance coverage they need. Often, the question “Is life insurance taxable?” comes up in the discussion, so I thought it was worth writing a blog post about. The short answer to this…

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