How To Save Money And Get Discount Life Insurance In Oregon

It?s not a subject most people like to think about, yet for a responsible spouse or parent life insurance is one of life?s necessary evils. Life Insurance.

To find out, ask yourself the following questions: Do you need life insurance?

Would a death benefit help a loved one pay off a mortgage loan or other debt? If you died would your loved ones need your death benefit to continue their present standard of living? Will your children be able to continue their education without your death benefit? Is there a family member with special needs who would be adversely affected without your death benefit? Will your loved ones need your death benefit to pay funeral and possibly medical bills?

If your answer to any of those questions is YES then you are a prime candidate for life insurance.

Here in Oregon, as elsewhere, there are two principle types of life insurance: whole life and term life.

Whole life insurance is a policy that you buy once and keep for your whole life. The premium on a whole life policy never changes no matter how long you live.

A term life insurance policy, on the other hand, is good for only a predetermined number of years. Once the term of the policy runs out, you?ll need to buy a new policy at a higher premium, based on your age at the time of renewal.

So which type of policy is best? That will depend on a number of factors. For a person with limited financial resources a term life insurance policy may appear more appealing since a term policy will have a less expensive premium than a whole life policy ? at least at first.

However, when the term life policy reaches the end of its term, a new policy will need to be purchased at a higher rate ? possibly much higher than the flat rate you would still be paying had you purchased a whole life policy to begin with.

So how can an Oregon family afford life insurance? Fortunately there are several things you can do to save money and get discount life insurance in Oregon.

First, don?t smoke. Smokers pay considerably more for life insurance than nonsmokers. Also there can be no history of drug or alcohol abuse and you cannot routinely participate in any hazardous activities, such as extreme sports.

Second, take out insurance as soon as you can ? the younger you are when you take out your first policy the lower your premiums will be ? and if you purchase a whole life policy at a young age your low premium will never change.

Others forgive one or even two violations. Some life insurance companies penalize you if you have had even one moving violation in the past 3 years. Even your driving record can affect the rate you pay for life insurance.

In this way you can be assured of not only saving money, but of finding the best discount life insurance in Oregon that is just perfect for both your family?s needs as well as your budget. Get online and find a site that allows you to fill out a simple form and then compare the rates from a variety of companies. This is where it pays to shop around.

Term Life Insurance With Return Of Premium

You can even borrow against some of the policies if you have accrued enough credit. and develop cash value over the years. Unlike term life insurance , these two options are ???owned??? Those who are unhappy with that notion typically end up buying other types of life insurance such as permanent life or whole life insurances.

Ultimately, you paid for something you did not end up needing. any premiums paid over the years are basically gone. In the event that you are still alive at the end of your ???term,??? You are paying for peace of mind and protection, knowing your family would be financially secure upon your untimely death.

Term life insurance is relatively inexpensive for this very reason.

This new offering is called Term Insurance with Return of Premium (ROP). Because many applicants were unhappy that they had to choose one or the other (no cash value versus something that offers some type of savings account), many insurance carriers developed a happy medium. Cash value policy premiums are significantly more costly.

The beauty of term life as opposed to permanent or whole life is of course the lower premiums.

Benefits of Term Life with ROP

Term Life Insurance with Return of Premium (ROP) actually has more in common with forms of permanent life insurance than with true term life with a pure death benefit.

A Term life insurance with ROP policy offers partial or complete return of premiums in a lump sum if the insured is still alive at the end of the guaranteed level period, usually 15, 20 or 30 years. As with traditional term life, if the insured dies during the term, the death benefit is paid as with traditional term life insurance without a return of premium.

Term life with ROP works almost the exact same way as any other cash value policy. Premiums on this type of policy are much more costly because policy owners are refunded the premiums paid over the term if said policy owner is still alive. Like permanent life insurance, extra premiums are set aside in a savings account accumulating to an amount of money equal to the premium paid by the end of the term. While Term life with ROP serves as a type of savings account, keep in mind that the return is substantially less than other investment arenas such as stock potentials.

Healthy owners of the ROP products plan to apply their lump sum amounts toward future expenses, such as college tuitions, weddings, opening a business, trips or a house down payment. ROP policies are appealing to people who lead healthy lifestyles as they believe they will live past the term and receive the large refunded sum. Aside from acting like permanent life insurance in terms of being a savings vehicle, some ROP products also allow loans on a percentage of accumulated premiums already paid.

You may also obtain an online quote in minutes. Check with your financial advisor if you think Term life insurance with Return of Premium might be the right choice for you.