Life Insurance

Are Life Insurance Death Benefits Taxed?
Are Life Insurance Death Benefits Taxed?

Typically, beneficiaries do not have to pay income tax on life insurance death benefits when they are received as a lump sum. However, some insurance companies usually offer beneficiaries a choice of payout options other than a single lump sum. In this case, a portion of these ...

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More in Life Insurance

Why Is Depression Considered a Risk When Purchasing Life Insurance?
Why Is Depression Considered a Risk When Purchasing Life Insurance?

When you apply for life insurance, you might think you won't run into any problems if you don't have a chronic disease or a life-threatening illness. But you may be surprised to find out that many ...Read More

Do Insurance Payouts Have to Be Counted as Income?
Do Insurance Payouts Have to Be Counted as Income?

If you've received a payout from an insurance policy, figuring out whether or not to count that money as income can be confusing. Several elements must be analyzed to understand if the benefit is ...Read More

What Is Graded Benefit Whole Life Insurance?
What Is Graded Benefit Whole Life Insurance?

A life insurance policy is a contractual agreement with an insurance company to pay your heirs a sum of money if you die while the policy is active. Insurance companies take great steps to evaluate ...Read More

How to Calculate Paid-up Life Insurance Amounts
How to Calculate Paid-up Life Insurance Amounts

Life insurance has two basic options: term and whole life. Term policies work like other kinds of insurance. You pay premiums and the company pays out only if you die. Whole life insurance includes a ...Read More

Are Life Insurance Death Benefits Taxable Income?
Are Life Insurance Death Benefits Taxable Income?

In most, but not all cases, life insurance death benefits are not taxable income. Whether you receive a lump sum or periodic payments, as long as the amount does not exceed the death benefit ...Read More

Are Benefit Payments on Life Insurance Policies Taxable?
Are Benefit Payments on Life Insurance Policies Taxable?

The prospect of providing financial security for your loved ones in the event of your death is the primary draw of life insurance, but it can also be a good investment vehicle. Several types of life ...Read More

Does Mortgage Protection Life Insurance Fit Your Needs?
Does Mortgage Protection Life Insurance Fit Your Needs?

Mortgage protection life insurance protects your loved ones in case you die while your home mortgage is outstanding. Its purpose is to meet the needs of families when a surviving relative might not ...Read More

How Are Expenses, Fees, & Charges Assessed in Immediate Annuities?
How Are Expenses, Fees, & Charges Assessed in Immediate Annuities?

You can turn your savings into a pension-style income stream by purchasing an immediate income annuity. Issued by life insurance companies, immediate annuities are actually insurance policies rather ...Read More

Definition of Waiver-of-Premium Benefit
Definition of Waiver-of-Premium Benefit

The waiver-of-premium benefit usually applies to life insurance policies. This benefit can help keep your life insurance in force if you are laid up due to injury or illness. If you are disabled, the ...Read More

What to Expect When Term Insurance Reaches Maturity
What to Expect When Term Insurance Reaches Maturity

Unlike a whole life insurance policy that can cover you from the cradle to the grave, term insurance, as its name suggests, only provides coverage for a set period of time. What happens when your ...Read More

Difference Between Universal Life & Whole Life Insurance
Difference Between Universal Life & Whole Life Insurance

The difference between whole life and universal life insurance may be subtle, but it's important to know all the ins and outs before taking out a policy. In many cases, you may find that term life ...Read More

Are Life Insurance Surrender Amounts Taxable?
Are Life Insurance Surrender Amounts Taxable?

Maybe your children are adults who support themselves and you’ve outgrown the need for life insurance or maybe you just need a quick injection of capital. Either way, canceling your life insurance ...Read More

Is Guaranteed Lifetime Withdrawal Benefit the Same as Annuitization?
Is Guaranteed Lifetime Withdrawal Benefit the Same as Annuitization?

Guaranteed lifetime withdrawals are one of the many benefits of an annuity contract, while annuitization is the process through which you create that benefit. You do not get your income unless you ...Read More

What Types of Changes in My Life Can Affect My Life Insurance?
What Types of Changes in My Life Can Affect My Life Insurance?

People purchase life insurance to protect loved ones from the financial impact of the most serious life change – death. But to make sure your loved ones have adequate life insurance protection, it is ...Read More