The Nuts and Bolts of Life Insurance
Looking for some straight forward answers to common life insurance questions?
If you want answers but don’t want to be judged, here are some questions and answers you may be looking for.
Can You Take Out a Life Insurance Policy on Someone Else?
You must have their consent and you must be able to prove you have an insurable interest. If you are asking if you can take out life insurance on someone you don’t know, the answer is no.
Can Someone Insure Your Life Without Your Knowledge?
A life insurance policy requires the consent and signature of the insured. This would make it impossible for someone to insure your life without your knowledge, unless they were to forge your signature. This, of course, is illegal.
Are Life Insurance Proceeds Paid Promptly?
Yes. Unless there are issues with the claim, life insurance proceeds are usually paid within 30 days.
Are Life Insurance Proceeds Paid in a Lump Sum?
Yes. Unless arrangements are otherwise made, benefits are paid in one single payment.
Are Life Insurance Benefits Taxable?
No. Generally speaking, any money you receive as a beneficiary of someone who has passed away is non-taxable. Any interest made on those proceeds, however, may be.
Is Life Insurance Affordable?
Most find it surprisingly affordable. Keep in mind it is most affordable when purchased in good health at a young age, so don’t wait.
Can I Make My Pet My Beneficiary?
No. You can, however, have someone be a caretaker for your pet and assign that person as a beneficiary.
Will I Need to Have a Physical Exam?
The vast majority of life insurance applicants can get coverage quickly and easily with no medical exam.
If you have any questions about life insurance, please don’t hesitate to ask. We are independent agents and are qualified to review life insurance policies issued by any company. Discover how affordable life insurance can be. Connect with us for your quote today!