Life insurance can play a vital part in planning for your future, and making sure that your loved ones are taken care of. It can also be extremely confusing. With all the different types of policies and coverages, there are many different options to choose from. As an independent life insurance agent serving clients across Georgia, Bering Insurance Partners works with multiple highly rated insurance companies. This allows us to compare options and help individuals, families, and business owners.
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Term Life Insurance in Georgia | Final Expense & Burial Insurance
What is Life Insurance?
Like almost all other types of insurance, life insurance is a contract between an individual or entity and an insurance company. However, instead of insuring a home or automobile for damage or liability, the insurance company agrees to pay a benefit in the event the insured person dies. This benefit is paid to the beneficiary, which we discuss more below. There are many different types of life insurance policies, but in most cases they will include a policy owner, insured, and beneficiary. Often the policy owner and insured will be the same person, but that is not always the case. Most surprisingly, it’s estimated that 40% of Americans have no life insurance at all.
When Is a Good Time to Buy Life Insurance?
The obvious answer is that you would want it before you (or your family) needs to use it. There is no better time than today, or even yesterday, to purchase life insurance. There are certain life events that traditionally trigger people to think about purchasing or reviewing their life insurance needs. Some of those include, but are not limited to;
- You’ve had a new child, or even a grandchild.
- You’re recently married or divorced.
- You have opened or expanded a business, or brought on a business partner or partners.
- You are providing care or financial assistance to a parent, or anyone else that is relying on you.
- Someone you are caring for may require assistance or long term care if you are gone.
- You recently purchased a new home
- You’ve refinanced your home mortgage recently.
- You have debts that you would want your loved ones to be able to payoff if you were gone.
As you can see with most of these events, if someone is relying on your financially or otherwise, then you should strongly consider purchasing a life insurance policy.
How Much Life Insurance Do I Need?
Whether you live in the Atlanta area or elsewhere in Georgia, this question is going to be highly dependent on your personal situation and will vary for everyone individually. There are several common formulas for calculating how much life insurance you need, one of those is the DIME method. DIME stands for Debt (not including your mortgage), Income (for the number of years your dependents will live off of it), Mortgage, and Education Expenses. Adding these numbers together can provide you will a ballpark estimate or even a starting point when calculating your life insurance needs. There are also a number of online calculators that you can find, which will ask more detailed questions about your personal situation. Again, everyone’s situation is going to be different, so you want to make sure and decide on an amount that works for you.
What Are Some of the Different Types of Life Insurance in Georgia?
Term Life Insurance
Term life insurance provides protection for a specified period of time. Some of the more common terms people chose are 10, 20, and 30 years. If you currently do not have any life insurance, then term coverage may be a good place to start. It is typically less expensive than other type of coverage, and in most cases the premiums will be level over the entire period of the policy. There are some policies out there where the premium can increase on a term policy. You will want to verify with your agent how long the level premiums will last. Depending on the insurance company and specific policy, there may be a provision included where you can convert the term policy to a permanent policy, which can be a nice option.
Learn more about term lengths, pricing, and how to compare options on our detailed Term Life Insurance in Georgia page (linked above). If you’re specifically looking for coverage in the Atlanta area, see our guide to Term Life Insurance in Atlanta, GA.
No Medical Exam Life Insurance
Some life insurance policies can be issued without a traditional medical exam. These policies often use accelerated underwriting, health data, and prescription history to determine eligibility.
No medical exam options can be appealing for individuals who want a faster application process or prefer to avoid exams, though coverage limits and pricing can vary. You can learn more about no medical exam life insurance and how these policies work in Georgia here.
Whole Life & Permanent Life Insurance
Whole life insurance is a form of permanent life insurance that remains in force for your entire lifetime, provided premiums are paid as specified in the policy. Many whole life insurance policies also build cash value over time.
Final Expense & Burial Insurance
Final expense and burial insurance policies are typically smaller whole life policies designed to help cover funeral and end-of-life expenses. These policies are often used by individuals later in life and may have simplified underwriting.
Learn more about final expense and burial insurance options in Georgia (linked above).
What Are Some of the Common Uses for life insurance?
There are many potential uses for life insurance. Some of the more common uses that you many want to consider include;
- Income replacement
- Paying off debts such as a mortgage or credit cards
- Paying final life expenses such as burial or cremation
- Creating an estate or paying taxes
- Business uses such as key man or buy sell (see below)
- Charitable Donation
Life Insurance for Business Owners in Georgia
Life insurance can be an important planning tool for business owners. Common applications include:
- Funding a buy-sell agreement
- Protecting a business against the loss of a key person
- Supporting long-term succession planning
Business life insurance needs vary widely depending on company size, structure, and goals, and are often best addressed with guidance from an independent agent.
High Risk Life Insurance
Life insurance premiums and eligibility are based on several factors, including age, health history, lifestyle, and hobbies. Certain medical conditions or activities can result in higher-risk ratings or limited options with some carriers.
Working with an independent life insurance broker can be especially helpful in higher-risk situations, as different insurance companies evaluate risk differently. In many cases, options still exist even when coverage has been declined elsewhere.
Qualifying for Life Insurance
The process for qualifying for life insurance can vary depending on which carrier you are applying through. For instance, some carriers may are always going to require that you take a paramedical exam, while others may ask for it in certain cases or not at all. The amount of coverage you are applying for can also have an impact. Again, there are some companies who will not require a medical exam if the death benefit is under a certain amount. As you can imagine, if you are applying for a large amount of coverage (i.e. one million dollars or more), the insurance company may ask additional question or proof regarding your income to justify the larger amount of coverage.
In all cases, there is going to be an application to complete with information that is specific to you. This could include;
- Name
- Date of Birth
- Height & Weight
- Lifestyle questions which may include nicotine/alcohol usage and if you engage in any high risk activities
- Personal and family health history
- Financial information including annual income and net worth to help determine the appropriateness of the coverage amount requested
In addition to this, the insurance company may run a number of reports including; prescription check, Medical Insurance Bureau (MIB) report, and your motor vehicle report (MVR).
Once all the required information has been compiled for your specific case, the insurance company will review and make a determination on coverage. Sometimes they may have follow-up question, or request additional information such as doctors records.
What Life Insurance Companies in Georgia Do We Work With?
As an independent life insurance agent serving Atlanta & Georgia we have access to over 20 different companies. Most of them are some of the major ones you have probably seen on TV and different advertisements. Some of those include Protective, Prudential, American National, Banner Life, Lincoln Financial, Pacific Life, AIG, and Savings Bank Life Insurance (SBLI). Plus many others.
Let us Help!
If you are looking for a life insurance agent serving Atlanta & Georgia, please feel free to contact us at 404-781-9415, or complete the quote request form to get started. If you are looking for life insurance anywhere in Georgia, including the greater Atlanta area, we can help.. As an independent life insurance agency and broker we can compare quotes from multiple insurance companies for you.