What Is A No Load Term Life Insurance Policy?
When it comes to discussing life insurance, you have probably already figured you have heard about all the different policies a million times over. The decision regarding which particular insurance policy that you and your family should have is daunting in the least. However, have you ever heard of a no load term life insurance policy? A lot of people are trying to obtain these policies because they offer lower premiums.
With these particular policies you can obtain them from different sources then with whole life insurance. No load insurance as it is cleverly called can be obtained through an agent over the phone or even through the mail by filling out some forms. In many respects you do not have to even see a live agent.
One thing that many people do not realize about the policy, is although you are not seeing the agent selling you the policy, these people are normally licensed agents for the state that they are selling in. Therefore, you can expect the people that you talk to are well versed in the policies that they offer.
However, the company that the person is offering you coverage with does not pay the agent that is assisting you. Instead, when you pay your first month premium for the policy that you obtain, you will notice a note that specifies the agent's fee. The adviser is paid through you, not the company that they are working for. But, after the first payment, many people are quite happy that the remaining premiums are really low.
One thing that a lot of people don't really like as far as the no load policies go is that these policies do not have any cash value. The reason why is because your premiums are so low, and if the account held cash value it would simply make this policy as high as the others that are available in the market.
Consider this, with the fees being so low you can take the extra money that you would have paid in order to have cash value accumulate and put the money into a bank account. This way your paying less for life insurance, and still obtaining cash value as you desired.
These policies sound great, but you need to understand that they are not offered in every state. So, before you opt to run out and obtain one, you need to ensure that your state actually recognizes and allows no load term life insurance. In most cases, the applications process still requires that you answer some questions about your medical history and possibly undergo a physical.
Really, many people think that the best advantage of the plan is the fact that you will save yourself some money. But you have to be the one that will responsible for asking questions as well as filing claims if need be. This is something that a lot of people do not realize or like the idea of.
There are advisers that can file the claims for you, however often times they ask for a fee in order to do so. If you consider yourself to be a pretty organized person, you shouldn't have a problem filling out your own claim and that makes choosing one of these policies a breeze.