Your chances of getting hit by lightning while standing on the steps of the Supreme Court in Washington DC are probably no greater than your chances of becoming president of the United States. However, your chances of suffering a heart attack, or being hit by a car and expiring on the scene are not as improbable as it might seem. Buying life insurance is a sensible response to the risks we all face every day.

When you buy life insurance, you may wonder how the premium is calculated and how often it is calculated. If you buy a whole life or term life insurance policy, will you have to pay a higher premium each year because you are getting older, and closer to the end, each year? The answer is no. If you have either a whole-life or term-life policy in place, the life insurance company does not calculate your premium each year.

A whole-life policy covers you from the time you first purchase the policy until the day you pass away, provided, of course, that you pay your premium. The amount that you pay each month, or each year does not change as you get older. Your premium is calculated at the time you purchase the policy and is based on your life expectancy.

If you choose to buy term-life insurance, your premium is calculated at the beginning of the term and remains the same until the term is up. If you have a clause that allows you to renew the policy for another 10 years after the policy expires, a new rate will be calculated based on your advanced age. Any time you buy a new policy, the insurance company will calculate a premium that corresponds with your life expectancy at the time the policy is issued.

For more information about the different types of life insurance available here in Washington, DC, please give us a call and allow an independent agent to help you out.

Whether you get anything back when you cancel your Laurel, Maryland life insurance policy will depend on what kind of policy you had in the first place. Some of them build cash value, while others don’t. If you have term life insurance, for example, you’re paying a very small premium for the dollar amount of coverage you’re getting. Many people like this option, because it allows them to protect their loved ones from financial risk in the event of their death. It’s affordable, and just about anyone can qualify. There are policies that don’t even ask health questions. Because of the low cost, though, there isn’t any cash value. When you cancel, you won’t get any money back.

A whole life policy has premiums that are considerably higher based on the amount of coverage you’ll receive. These policies build cash value, though. When you decide to cancel your policy, the insurance company will owe you some money. You can also borrow against your life insurance during your lifetime, subject to specific terms and conditions. By talking to an independent agent like us, you can get the information you need to make an informed choice on your life insurance.

We can help you by explaining all the different policies, how much they cost, what they offer, and how they work. Then you’ll have all the information you need to make a truly informed decision. When you’re able to do that, you can get exactly what you need to protect yourself and your family, for a price you’re comfortable with. You’ll also avoid some of the nagging questions for the future, and not have to worry about what you’ll be eligible to get back should you decide to cancel your policy in the future.

When you buy a new home, you may wonder if it is possible to avoid buying insurance to protect your property. Although it is a smart decision to purchase homeowners insurance in any location, the law may not require coverage. In Laurel, Maryland, the laws regarding the requirements for homeowners insurance vary.

Condo Must-Buy Laws

Although the state does not require every homeowner to purchase insurance, it does specify that a condo may require insurance if the condo association votes to have every condo owner purchase coverage. If the condo does not vote on the topic, then owners may not be required to purchase coverage.

Lender Rules

While the state laws may not require homeowners insurance in Maryland, a mortgage lender may require that homeowners purchase some form of basic coverage to protect the building until after the loan is repaid in full.

The rules and regulations set by a lender will vary, so it is important to read through the documentation before looking for any coverage for the house. Some companies may require a larger amount of protection than others based on the value of the home or the risks associated with the building.

Finding the Right Plan

When a lender requires coverage, the best way to find the right plan is working with an independent agent. An agent can provide a wide range of options based on the requirements of the lender and a personal budget so that it is possible to find appropriate coverage.

Although the laws may not require coverage on a home, it is still a good idea to purchase insurance to protect personal assets in case an accident occurs or the building is damaged. To learn more about coverage options, contact us to talk to an independent agent.