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Permanent Life Insurance - Life Coverage Policy Guide Wichita KS

Life insurance companies make good money on these policies. There are generally incentives to life insurance agents to sell them. Insurers profit from people who buy these plans young and then drop them early.

Mrs. Angela L. Tejeda (RFC®), MBA
(316) 721-5191
8307 W. 34th St. N
Wichita, KS
Company
Tejeda Financial / Money Concepts
Qualifications
Education: BA - PsychologyMBA
Years of Experience: 10
Membership
IARFC, FPA, SFSP
Services
Invoice, Estate Planning, Business Planning, Portfolio Management, Pension Planning, Executive Compensation Planning, Retirement Planning, Medicaid Planning, Tax Planning, Seminars Work, Employee Benefits, Stocks and Bonds, Mutual Funds, Mortgage Loans, CD Banking, Annuities, Life Insurance, Disability Income Insurance, Long Term Care Insurance, Group Insurance, Charitable Planning, Education Plan, Charitable Foundations, Asset Protection, BuySell, LiabCover, Compensation Plans

Data Provided by:
Fortune Protection Ins AAA
(316) 262-1550
1550 S Broadway St
Wichita, KS
 
Tony Cope Insurance Agency
(316) 682-5500
935 S Woodlawn
Wichita, KS
 
Blythe Insurance Agency
(316) 685-2388
5745 E Central Ave
Wichita, KS
 
Farm Credit Of Central KS
(316) 721-1100
7940 W Kellogg Dr
Wichita, KS
 
Mr. Brian Michael Nelson (RFC®), RFP
(316) 630-0670
13111 E 21st St. N.
Wichita, KS
Company
Cornerstone Financial, LLC
Qualifications
Years of Experience: 4
Membership
IARFC
Services
Invoice, Estate Planning, Portfolio Management, Retirement Planning, Employee Benefits, Stocks and Bonds, Mutual Funds, CD Banking, Annuities, Life Insurance, Long Term Care Insurance, Education Plan, Asset Protection

Data Provided by:
Affiliated Agents
(316) 943-2101
2061 N West St
Wichita, KS
 
American General Life & Accident Insurance
(316) 630-0100
400 N Woodlawn St
Wichita, KS
 
Bergkamp Duane CMFC
(316) 721-6767
8925 W Maple St Ste 15
Wichita, KS
 
Bob Watson Agency
(316) 729-7057
8911 W Maple
Wichita, KS
 
Data Provided by:

Permanent Life Insurance - Life Coverage Policy Guide

Provided By: 

Permanent Life Insurance

The only reason to buy permanent life insurance is that you are going to hold this insurance for life.

By holding the "permanent life insurance for life," we mean for life. There are usually up-front charges which considerably impact the savings component. Eventually, the savings will begin to pay off, but it can take 10 to 20 years for things to begin moving your way.

So what are you really getting? Well, it works like this: part of your monthly payment pays for the actual life insurance (This will normally be close to the amount you'd pay for term life insurance ). The rest of your payment (minus management charges; which are a fee over and above the cost of premium) is applied to the savings component. Therefore, in order to actually build savings, your premiums are higher than term life insurance by the amount of your savings contribution, plus fees to the life insurance company to 'manage' your money.

Now, if you want someone to manage your money, wouldn't you want a specialist? Maybe a bank?

Originally, the cash value that you built in your permanent life insurance was designed to continue to pay your premiums when you get older and premiums become REALLY expensive. This was a selling point because you banked money to pay high premiums to keep life insurance in force after retirement - when you don't make as much.

Another of the big selling points has been that you (as the life insurance policy holder) could access those savings if you need them. Sounds good, right? Well, it doesn't always work as planned. If you want to use those savings for something other than life insurance payments you will likely pay income tax on them; which negates any "tax shelter" status and could even push you into a higher tax bracket (with higher taxes).

Rules to borrow against a permanent life insurance plan can be very complicated, can cost interest, and what if you don't want to pay it back? It's supposed to be "your money" afte...

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