The company that issued your life insurance policy may have changed your name, merged with another company, or sold your policy to another insurance company. For this reason, it is important to ensure that your postal address is always up-to-date on your policies. However, if you haven’t received an updated policy, you’ll need to find the life insurance company that handles and pays for your policy claims. In the unfortunate event that you have to file a claim with your insurance company, you must pay the deductible before your insurance benefits take effect.
When exploring life insurance options, you may come across the word “cash value.” Term insurance does not generate present value. Your premiums go into your payment, making the cost to policyholders relatively lower than for permanent life insurance. However, some insurers have created term life products with a “premium return” feature, where a portion of the premiums you pay are returned if a claim is not made before the end of the coverage period. These policies can be more expensive upfront than standard term life insurance policies. The cost of life insurance varies depending on the amount of the death benefit, as well as your age, health status and other risk factors.
Factors such as your marital status, the number of dependents and the cost of your support, future educational needs, current and expected household income, and your current assets and debt obligations all play a role in determining how much life insurance is right for you. However, for diagnoses that offer little discretion in treatment (e.g., gastrointestinal bleeding, congestive heart failure), the length of stay was not significantly different for uninsured and privately insured patients, although uninsured patients tended to stay shorter. This underscores the possibility that when uninsured patients are found to receive fewer services than insured patients, it may be due to overtreatment of insured patients, rather than undertreatment of patients without coverage. In a study using the New Jersey Cancer Registry, Ayanian and colleagues identified 4,675 women ages 35 to 65 diagnosed with breast cancer and assessed their stage of the disease at the time of diagnosis and their chances of survival 4.5 to 7 years after diagnosis.
Generally, those with private health insurance in studies that examine the stage at which cancer is diagnosed have the best results, and those without insurance have the worst (i.e., the highest percentage of late-stage diagnoses), with interim outcomes for Medicaid enrollees. However, single premium life insurance in some studies, the results for Medicaid enrollees are similar to those for uninsured cancer patients (Roetzheim et al., 1999). Because the homeowner builds up savings and purchase protection through this plan, the premium is higher than the premium of the term life insurance.
This is a useful tactic if you realize you want longer life insurance coverage and don’t want to buy a new policy, perhaps because your current health would make it difficult. The annual cost of term life insurance remains the same each year for the flat term, such as 10 or 20 years. Once the tier term ends, you can usually extend the policy, but at higher rates each year it is renewed.
Several studies suggest that the positive effects of health insurance for HIV-infected adults are achieved by the mechanism of having a regular source of care. Sorvillo and his colleagues surveyed 339 HIV-positive adults in Los Angeles County in 1996-1997 and found that two-thirds of insured patients used protease inhibitors, while only half of uninsured patients used them. Across the spectrum of services and the course of development of cardiovascular disease (Box 3.5), uninsured adults receive fewer services and experience poorer health. They are less likely to be screened for hypertension and high cholesterol and to have frequent blood pressure monitoring once they develop hypertension. Uninsured adults are less likely to continue taking medication therapy for hypertension, both because they don’t have a regular provider and because they don’t have insurance coverage. Loss of insurance coverage has been shown to disrupt therapeutic relationships and worsen blood pressure control.
Personal liability coverage protects you from a lawsuit alleging that bodily injury or property damage was caused by our negligence. Some forms of negligence are excluded, such as lawsuits relating to businesses or cars, and are not covered by home insurance. Protection against those types of lawsuits is best handled under a commercial liability policy or a car policy. Personal liability coverage applies to you and all of your family members who live with you, usually with a coverage limit of $100,000. You should contact your manufacturer or insurance company to determine if the amount of personal liability coverage is sufficient. Replacement cost is the amount of money it would cost to replace or rebuild your home or repair damage with materials of the same type and quality, with no deduction for depreciation.
While you don’t want to have underinsurance, you also don’t want to pay for insurance levels you might not need. Medical payments coverage pays the medical expenses of people who have been accidentally injured on your property by a family member or by your pets. Medical payments do not apply to your injuries or those of family members who live with you or a tenant who regularly stays in your building, or to activities involving your home business. Check with your manufacturer or insurance company to determine if the amount of medical payment coverage on your policy is sufficient.
The cost of making sure it can get high as you get older, especially if you get older than 80. A term life insurance policy can be the simplest and most obvious option for life insurance for many people. A death benefit can replace the income you would have earned in a certain period of time, for example until a dependent minor grows up. Or you can pay off a large debt, such as a mortgage, so that a surviving spouse or other heirs don’t have to worry about making payments.