Having life insurance is like providing a gift of love to your family if you were to die. As a financial tool, life insurance will help your loved ones to continue to live comfortably and to be able to pay major bills such as the mortgage, car and credit card loans. In addition, life insurance is a good investment instrument which allows you to borrow money against it.
Low Cost Life Insurance
Getting low cost life insurance will be dependent on certain factors such as your level of risk, the type of insurance you select and the death benefit of the policy. The healthier you are, the lower your risk and, therefore, the lower the cost of the insurance. In addition, look at different types of life insurance available as well as different death benefit amounts to see what they will cost you.
Payer Benefit Clause
If you plan on getting low cost life insurance, you should check to see if a payer benefit clause is available and what it will involve.
A Payer Benefit Clause waives the premium for a certain period of time in case you are disabled. It means that you will stop making premium payments after you have been disabled, and this is usually for a period of six months.
The clause, which is an addition to your insurance policy, is called a rider. It outlines the terms and conditions under which your insurance company will continue your insurance policy, without your having to pay the premiums. Although the payer benefit clause often applies to the insured being totally and permanently disabled, it may apply to other types of cases.