Genworth Financial

Life Insurance - Genworth Financial

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Category: Genworth Financial
Published on Thursday, 15 July 2010 12:49
genworth-lifeLife insurance provides financial security for your loved ones when they need it most. With the right planning, you can help ensure your family’s finances are protected if you aren’t there to provide for them. The death benefit from a life insurance policy can help replace income and pay any expenses that your family will have after your death, including:
  • Mortgage or rent payments
  • College tuition for your children
  • Monthly bills, expenses and childcare costs
  • Funeral expenses, estate taxes and final medical expenses
  • Auto loans, credit card balances and bank loans
  • Retirement funding for your surviving spouse


Life Insurance Products
Term Life Insurance - An economical type of life insurance; provides death benefit coverage and premium payments are guaranteed to remain level for a specific period of time.

Universal Life Insurance -A flexible type of life insurance policy; provides both a death benefit and has the potential to accumulate cash value. The policyholder has the right to borrow or withdraw from any available cash surrender value.

 

Comparison Chart

Feature Term Life Insurance Fixed Universal Life Insurance
Term of Policy 10, 15, 20, 30 years Lifetime
Policy may build cash value No Yes
Designed for low cost premium payments Yes No
Flexible payment terms and premium amounts No Yes
Policyholder has the right to borrow or withdraw from any available cash value No Yes

 

Term Life Insurance

A Great Way to Protect Your Loved Ones
Term life insurance provides death benefit coverage with a guaranteed level premium for a specific period of time—usually 10, 15, 20 or 30 years depending upon which product you choose. Term life insurance can help your family pay for necessary expenses if you die unexpectedly. The death benefit can help your family maintain their lifestyle, cover your children’s college tuition and pay off a mortgage. 

Benefits of term life insurance:

  • Low Premiums - When you need coverage for a certain number of years, term life insurance is usually your most affordable option. It is often a great choice for younger individuals and new families. Once the level premium period ends, premiums will increase annually.
  • Adaptability - Most term life insurance policies can be converted to a universal life insurance policy at a later date.
  • Security – It helps protect your loved ones against possible financial hardship.
  • Income Tax-Free Death Benefit - Under current tax laws, life insurance proceeds are generally income tax free to the beneficiary.

Please see your financial advisor today to discuss more about term life insurance from the Genworth family of companies.

Universal Life Insurance

Life Insurance Protection With Flexibility
With universal life insurance, you can accumulate cash value that grows tax deferred and can be taken as loans or withdrawals. In some instances, the death benefit can include this cash value in addition to the policy's amount of insurance. It also, within certain limitations, lets you adjust your coverage, and how much premiums you pay to suit your changing needs.

Benefits of universal life insurance:

  • Income Tax-Free Death Benefit - Under current tax laws, life insurance proceeds are generally free of federal income taxes when they’re paid to the beneficiary.
  • Flexible Premiums - Keeping a UL policy in effect does not require paying a fixed premium. Premiums may be paid at chosen times and in the selected amount, and premiums may be even be skipped. The policy only stays in effect as long as the policy's net cash surrender value is large enough to pay the policy's costs and charges. The more premium is paid, the larger the policy's net cash surrender value becomes.
  • Cash Withdrawals - When you have enough cash surrender value you may withdraw or borrow the money. (Loans and withdrawals will negatively impact policy performance, including reducing the available death benefit. If a policy with an unpaid loan is surrendered, a taxable event may occur).

Genworth Universal Life Insurance products are not offered in all states. Talk with your financial advisor to learn more and discuss your options.

 

Source: Genworth Financial