KC Life Insurance Agent

Term Life Insurance

Term Life Insurance is the lowest cost life insurance and is typically purchased by people under the age of 60. "Term" means that the rates are guaranteed forl a particular length of time. When that length of time comes to an end, the policy will lapse, or expire, unless substantially higher premiums are paid. The beneficiaries of these policies will receive the death benefit TAX-FREE.

The Term lengths available for most insurance companies are 10 year term, 15 year term, 20 year term, and 30 year term. Term Life Insurance policies are often used for replacing income or paying off debts such as a mortgage.

Permanent Life Insurance
(Whole Life, Universal Life, & Single Premium Life Insurance)

Permanent Life Insurance will last until the insured passes away. The premiums will never go from when the policy is purchased if it is designed correctly. The three types of Permanent Life Insurance are Whole Life, Universal Life, and Single Premium Life. The beneficiaries of these policies will receive the death benefit TAX-FREE.

Whole Life Insurance polices usually have death benefits of $1,000 - $30,000 and have simplified underwriting (they don't require a medical exam). Because of the simplified underwriting, they are easier to qualify for than some of the other types of life insurance policies. People often purchase Whole Life Insurance policies to cover their burial / final expenses.

Most Universal Life Insurance policies have a minimum death benefit of at least $25,000. Many companies have a minimum of $100,000. These policies are usually fully underwritten (they require a medical exam as well as other medical and non-medical information to qualify). Universal Life Insurance policies can be designed many different ways. They are commonly designed to expire at age 121, grow a cash value within the policy, and keep level premiums throughout the life of the policy. People of all ages purchase Universal Life Insurance policies to replace income, pay off debts, pay death taxes, or provide an inheritance to beneficiaries.

Single Premium Life Insurance polices require a one-time premium of usually at least $5000 and go up to premiums of hundreds of thousands of dollars. Depending on the age and gender of the insured, the one-time premium gets multiplied into a much larger, immediate death benefit that is good for life. They are often easier to qualify for than the other types of permanent life insurance policies, usually requiring just a short application and phone interview. The death benefit is paid to the beneficiaries tax-free. Single Premium Life Insurance policies are often used to multiply the size of one's estate, or to pre-pay for a burial / final expenses.

Long Term Care & Home Health Care Insurance

Long Term Care & Home Health Care Insurance are usually combined into one policy. They are used to help pay for the care of people that aren't able to fully take care of themselves. Examples of the type of care these are used for are Nursing Home Care, Assisted Living, Adult Day Care, and Home Health Care. There are three main types of insurance policies that are used to cover these services: Long Term Care Insurance, Short Term Recovery Care Insurance, and Life Insurance / Long Term Care combination policies.

Long Term Care Insurance will usually cover stays in any of the facilities listed above for at least 2 years. The premiums are NOT usually guaranteed. Large discounts are often given to spouses that apply together. Males and Females usually have the same rates. The policies are fully underwritten and can be difficult to qualify for some.

Many Short Term Recovery Care Insurance policies will cover stays in any of the facilities listed above for periods of less than 1 year. They have simplified underwriting, and usually only require a short application and phone interview. Many people purchase these policies if they cannot afford a Long Term Care policy, or to supplement a previously purchased Long Term Care policy with an inadequate benefit amount.

Life Insurance / Long Term Care combination policies are the growing trend for Long Term Care Insurance coverage. They can be purchased with a larger single premium with simplified underwriting, or with continuous monthly premiums requiring full underwriting. These policies are typically designed with premiums that are guaranteed to never go up. Many people like these types of policies because if the insured dies without using the Long Term Care portion of the insurance, their beneficiaries receive a very large, tax free death benefit.

Medicare Supplement Insurance & Medicare Advantage Plans

Medicare Supplement Insurance policies and Medicare Advantage plans are only for people with parts A & B of Medicare.

Medicare Supplement Insurance, or Medigap Insurance, are policies that help pay for all or part of the deductibles and copayments required of Medicare beneficiaries. A common misconception of Medicare Supplement policies is that each insurance company covers their insureds differently. I will often hear from Medicare beneficiaries how good their insurance company covers everything for them. The coverage has NOTHING to do with how good the insurance company is. All of the medicare supplement plan coverages are the SAME from company to company. The only difference from company to company is the PRICE. If you have a Medicare Supplement policy, I highly recommend shopping around periodically for better rates, as the coverage will be the same no matter which company you go with.

Medicare Advantage Plans are also known as Medicare Part C. Some of the plans include prescription drug coverage. For more information on these types of plans, send me an email or give me a call to schedule an appointment, as each county in Missouri and Kansas have different plans available.

Health Insurance Plans
(Major Medical, Short Term Health, Critical Illness / Cancer Plans)

The private individual health insurance plans for people not on Medicare are, in my opinion, too expensive and difficult to qualify for. If you have any medical conditions and are not on a group health insurance plan through your employer, your options are limited.

Major Medical Health Insurance have can deductibles from $500 to $10,000. This means that you have to pay all of the costs until you reach that amount. Once you reach the deductible amount, the insurance company will pay for most, if not all, of the remainder of the medical costs that you have incurred during that year. These plans are usually renewable for life. The premiums are not guaranteed, and can go up as you get older. They have very difficult health qualifications. A common trend is to purchase a plan with a high deductible of $5000 to $10,000, and purchase a critical illness and accident plan to help offset the initial amount that you are liable for.

Short Term Health Insurance plans cost less than Major Medical Health Insurance plans. They have solid coverage also, but expire after a predetermined length of time. They can usually be purchased up to 11 months in length. They are easier to qualify for than Major Medical Health Insurance Plans, but are not guaranteed renewable. People often purchase these to bridge the gap between jobs after losing employer sponsored health insurance.

Critical Illness Plans are Insurance policies that pay a predetermined amount if you incur a number of different catastrophic diseases or circumstances. These include Cancer, Heart Attack, Coronary Artery Surgeries, Stroke, Paralysis, loss of Vision or Hearing, and many others. These are often used to supplement other health insurance policies to help pay coinsurances, deductibles, prescription drug costs, and other expenses.