What is 7702?
Section 7702 is a section of the United States Internal Revenue Code that defines the tax treatment of life insurance contracts. Specifically, it sets forth the requirements that a life insurance policy must meet in order to qualify for tax-favored…
What is a Policy Lapse?
Life insurance policy lapse occurs when the policyholder fails to pay the required premiums on their life insurance policy and the policy terminates. When a policy lapses, the coverage provided by the policy ends and the policyholder is no longer…
Types of Permanent Life Insurance
Did you know that there are different types of Permanent Life Insurance? Each with its own unique features and benefits. Here are some of the most common types of permanent life insurance: 1. Whole Life Insurance: This is the most traditional form of…
Why does life insurance cost goes up overtime?
Below are some of the reasons why life insurance cost can go up: 1. Age: As you get older, your life insurance premiums may increase because the risk of death increases with age. 2. Health: If your health deteriorates over time, your life insurance…
Washington State and Mandatory Long Term Care
In Seattle and the state of Washington, there have been recent efforts to establish a public long-term care insurance program that would be funded through payroll taxes. In 2019, the state legislature passed the Long-Term Care (LTC)Trust Act, which…
What is Long-Term Care Insurance?
What is Long-Term Care Insurance? Long-Term Care Insurance (LTCI) is a type of insurance that is designed to cover the costs associated with long-term care services. Long-Term Care services may include things like nursing home care, in-home care, or…
Index Universal Life (IUL)
Index Universal Life Insurance (IUL) is a type of permanent life insurance that was introduced in the 1990s. The history of IUL can be traced back to the development of the universal life insurance policy in the 1970s. Universal life insurance was…
When is the best time to buy life insurance?
The best time to buy life insurance is when you have a need for it. Life insurance is designed to provide financial protection to your loved ones in the event of your unexpected death. If you have dependents who rely on you financially, or you have debts…
Difference between Term Life Insurance and Permanent Life Insurance?
The main difference between term and permanent life insurance is the length of coverage they provide. Term life insurance provides coverage for a specific period of time, typically anywhere from 1 to 30 years. If the insured person dies during the term…
What’s the difference between Whole Life Insurance vs Index Life Insurance?
Whole Life Insurance and Index Life Insurance are both types of permanent life insurance policies, but they have some key differences. Whole Life Insurance is a type of life insurance that provides lifelong coverage with a guaranteed death benefit and a…