Life Insurance Information

I'll be adding detailed information on Life Insurance over the next several months. For now, I decided to start with some basic information on Life Insurance. There are many variations of Life Insurance, here are some general definitions of popular types of Life Insurance that our producers at Global Insurance Group have been selling.

Some Types of Life Insurance

1. Term Insurance is the most basic, and generally least expensive, form of life insurance for people under age 50. A term policy is written for a specific period of time. Usually 10, 20 or 30 years. A level term policy locks in the annual premium and death benefit.

2. Whole Life combines permanent protection with a savings component. As long as you continue to pay the premiums, you are able to lock in coverage at a level premium rate. Part of that premium accrues as cash value. As the policy gains value, you may be able to borrow up to 90% of your policy's cash value tax-free

3. Universal Life is similar to whole life with the added benefit of potentially higher earnings on the savings component. Universal life policies are also highly flexible in regard to premiums and face value. Premiums can be increased, decreased or deferred, and cash values can be withdrawn. You may also have the option to change face values. Universal life policies typically offer a guaranteed return on cash value, usually at least 4%. You'll receive an annual statement that details cash value, total protection, earnings, and fees.

4. Survivorship life Insurance (also referred to as last-to-die or second-to-die) is a unique type of contract that insures the lives of two people. It pays a death benefit upon the death of the second insured. Therefore, it is typically less expensive than two individual policies. Survivorship life is often used for estate planning, where it may be possible to potentially leverage today's dollars -- via insurance premiums -- into a potentially significant death benefit that can be used to fund estate taxes, create wealth for future generations, or benefit a charity. These policies may be available if one insured is medically "uninsurable."

5. First-to-die life Insurance insures the life of at least two people and pays a benefit upon the death of the first insured. This policy is useful for covering a mortgage or other large debt obligation where there is more than one debtor. In addition, it can be an ideal tool for funding a buy-sell agreement within a closely held business.

NAIC Buyers Guides For Consumers

Global Insurance Group is committed to passing on useful sales tools to our agents. The best sales tool in my opinion is the buyers guide for consumers available for a nominal fee from the National Association of Insurance Commissioners. Every sale should go hand in hand within the guidelines of the NAIC. I am giving everybody the link to the NAIC:
http://www.naic.org/store_pub_consumer.htm#life_guide
I encourage you to utilize these guides to educate your clientele on all insurance products.

Multi-Year Gaurantee Annuity Benefits

How many of your clients are looking for safety in today's volatile economy?
Multi-year guarantee annuities (MYGA) are designed with an interest rate that is guaranteed for the full-term of the annuity. Since a client can accurately predict the value of the annuity throughout the life of the contract, they are especially useful for reaching a specific value at some time in the future such as retirement. Of course, the MYGA annuity is a type of Tax-Deferred Fixed Annuity. With CD rates being as low as they are, it is the insurance agents obligation to educate your client on safe investments that offer generous interest rates & short surrender charge periods. Products that offer (1) safety of principle (2) A guaranteed interest rate for 3, 4 or 5 years. As of today Feb 7th, 2009 there is a leading carrier offering 4.9% interest for a 5 year MYGA! Interest rates may change weekly, so log onto our website http://www.global-insurancegroup.com/ or call 954-796-8180 for updates. It is important to inform your clients that the guarantees are backed by the strength & claims-paying ability of the insurance company. A five year fixed rate annuity is an excellent opportunity for you to excel your sales. If you are having problems with your prospecting, this product is an excellent way for you to get the attention of your future clientele. Commissions on these products are as high as 3% for licensed agents of Global Insurance Group.

Announcement of new Blog Site!

Today, Feb 4th 2009, I created this blog to network with other professionals in the insurance indsustry. Please visit my website at http://www.global-insurancegroup.com/. If you are an agent selling Life Insurance, Annuities or Long Term care Insurance, you will want to read my up coming content. I will be keeping agents up to date on imporant issues facing themselves as far as compliance issues, marketing lead sources, NAFA updates & NAIFA updates. I will be informing insurance agents on new products from leading insurance companies such as Allianz Life, Aviva Life, North American & RBC.