Getting Life Insurance Policy
Reader’s Question:
What is the best way for me to know which life insurance policy should I get here in Houston, Texas? Thanks.
Paula
Houston, TX
A number of consumers believe that term life insurance is more cost effective than whole life insurance because it is less expensive. Some of them say that when you buy term life insurance, you can put the money you can save from it in a separate investment. But in the point of view of a life insurance expert, there’s no insurance product that is best for each person and condition.
So, for you to know which life insurance Houston, Texas you should get, you have to compare whole and term life insurance policies. A helpful agent must be able to let you see the rates, and explain the characteristics and benefits of various policies.
To help you make a decision on the life insurance Houston, Texas to choose, here are some situations in which term life insurance policy is more appropriate:
–If you would like to get the highest amount of coverage for the cheapest monthly charge.
–If you would just like to have life insurance for a particular period of time.
–If you have a venture chosen for surplus funds that you think would be more beneficial than putting the excess in a whole life insurance policy.
On the other hand, whole life insurance is better for you if:
–You would like to have a life insurance policy that lasts a lifetime or something for a very long period. The overall charges may be much cheaper than keeping a term life insurance policy for so many years.
–You would like to have a life insurance policy that accumulates cash value.
Why You Should Seriously Consider Life Insurance
Readers Question:
What is the best age to consider life insurance coverage?
Jermaine
Houston, TX
Good question! After the age of 18, there really isnt any right age to buy life insurance that applies to every body. Each and every one of us has specific circumstances that may or may not warrant the need to take out life insurance coverage. It is best to get life coverage once you are financially responsible for someone else. And that certain person would suffer financial hardship should you suddenly pass away.
The only time you should take out a Houston life insurance policy is during the following:
1.) Youre raising a family or supporting dependents.
2.) You have long-term financial debts or obligations such as loans and mortgage.
3.) As a major business partner or someone who holds a significant stake to the success of a business. And
4.) If you want to make sure all of your affairs and burial needs are taken cared of once you pass away.
Aside maybe for taking care of funeral expenses, there really isnt much incentive, nor practicality, to keep life insurance coverage on yourself just for the heck of it. That money could have been better used somewhere else like on a time deposit or a mutual fund. However, if you do decide that life insurance is a necessary expense, here are a couple of things to keep in mind:
1. Use the Web to your advantage, and get the most affordable Houston life insurance rates available. Online life insurance portals, like this website, can give you instant access to the latest offers in the market, and can help you find the insurer that best fits your needs.
2. Buy the right amount of coverage. Your policys face-value or the amount of death benefits awarded to your beneficiaries should be sufficient enough to cover their financial needs for the immediate future once you pass away.
Houston Car Insurance Advise
Reader’s Question:
Ever since I moved to Houston I noticed my car insurance premiums increasing, I’m still using the same car and I’m in my mid-30’s. Is my insurance company ripping me off?
George
Houston, TX
Good question. First, I don’t think that your car insurance provider is ripping you off (of course, we can’t really prove that they are, but really, there’s a better explanation). Rather, it is quite possible that the reason you’re car insurance rates have been increasing is because you moved into a bigger city. One of the main factors influencing your premiums is the location where you usually drive your vehicle. Houston has much more commuters, a higher traffic density, and definitely higher crime and accident rates as compared to smaller towns or the country.
Of course, more people means more cars, more thieves threatening your vehicle, higher likelihood vandalism, but this simply means you and your vehicle is more exposed to financial loss and risk of getting into an accident. The higher the risk, the more premiums will be charged to allow your auto insurance carrier to compensate for this additional risk. This can explain the increases you’ve been seeing on your car insurance bills lately.
What you need to realize, though, is that you have options. If you are not satisfied with what you are currently paying, then maybe you need to look for another provider. You can get valuable Houston car insurance advise and information (regardless of where you are, actually) to help you find more affordable car insurance rates and policies on this website, and by using our free insurance search tool as well.
Houston Texas Car Insurance
Reader’s Question:
We just recently moved here in Texas to start a new life and things are not getting easy for us. My husband is still having a hard time finding a new job and my salary is not enough to support my family. I also have a teen daughter who’s still studying that I need to support. I’m making every possible step to save on everything that we can. Right now, I think I’m paying more on our Houston Texas car insurance, more than what my budget can afford. I’m quite desperate to look into ways on how to lower my car insurance premiums. Please help.
Tina
Houston, TX
I’m sorry to hear that Tina. I’m hoping and praying that your husband will find a new job the soonest possible time.
As to your question, there are still a lot of ways to get cheap Houston Texas car insurance. For one, you’ve mentioned that your daughter is studying. You can take advantage of good student discount being offered by car insurance companies for students who are able to get a B average or even higher.
Another, is to keep a clean driving record. Make sure every driver in your household is giving their best whenever they drive. As long as you have good driving record, not involved in any accidents and no traffic tickets under your name, then you may even get a discount for that.
Also, if you have home insurance, you can also consider getting car insurance policy from the same insurance company that insures your house. This is also another discount that you can avail of.
Lastly, considering shopping around for car insurance rates. I’ve read somewhere that you can save as much as $100 every year if you only shop for car insurance rates. By doing that, you’ll be able to get the cheapest Houston Texas car insurance for your family.
Houston Auto Insurance
Reader’s Question:
I heard from so many things on how we can save on out Houston auto insurance. We’re actually getting a discount for good student since my daughter has a GPA of B. Also, we have several cars under one policy so that’s another discount. I also heard that getting a degree in engineering or science will also qualify us in getting another discount. In fact, my daughter will be graduating soon with a degree in engineering so I’ve already told her about the car insurance discount she may get. However, I’m still in search of other car insurance discounts that we may get. Can you help?
Felicity
Houston, TX
Sure Felicity! I’m sure you’re just so proud of your daughter. Having a daughter with an engineering degree with a B average is what every mother wishes for.
Going back to your question, yes you are correct. There are still several Houston auto insurance discounts that you can avail of, however, the availability of these discounts may vary from every car insurance company.
- If you have anti-theft device installed in your vehicle, you may qualify for a discount. Having this device lower the chances of your car from being stolen.
- You may want to consider of getting car insurance policy from the same company where you are getting your home insurance company, this also gives another discount. For some it could be as much as 15% discount.
- Enrolling in a driver’s education program like safety driving course most especially for teen drivers will likely give you a discount of up to 5%
So, those are just three discounts your may be able to get to get cheaper Houston auto insurance. You can call your auto insurance agent as early as now to check if it’s available from your car insurance company.
Houston Car Insurance
Reader’s Question:
My sister will be working here in Houston next month. I think she’ll be staying for good here. She’s been asking my help about Houston car insurance but there’s nothing I can give since I myself does not even own a car and I seldom drive. What things or information can you give to a clueless person like me? Thank you in advance. And I’m sure my sister will be so much happy if I’m able to answer her questions finally!
Noreen
Houston, TX
Well, help is here Noreen and I’m pretty sure your sister would be happy if not even delighted to hear that finally you’ll be able to answer her questions about Houston car insurance.
I’m sure you’re looking for a cheap Houston car insurance. And believe it or not getting cheap car insurance is still possible. There are just so many ways on how you can get cheap Dallas car insurance. Here are some:
- If your sister owns several cars she may get multi car discount. Auto insurance companies offer this discount if you will be insuring more than one car under the same policy
- If she is studying or has a daughter who is studying, it’s better to keep an average of B or even higher. Car insurance companies believe that good students are good drivers.
- If your sister has a degree in engineering, science, education, computer, medical, or accounting, she may also qualify to get a discount. People with those professions are found to pose lower risk for car insurance companies.
Those are just three things that can help your sister get cheap Houston car insurance. I hope she gets the best car insurance deal!
Cheap Car Insurance In Houston
Reader’s Question:
I am doing my best to keep my cheap car insurance in Houston. I heard from my friend that there are car insurance discounts available in Texas. I think I can save on my auto insurance premiums if I can get those discounts. Can you tell me what discounts to look for? And also I have another question. What kind of traffic violations will hurt my cheap car insurance rates? Thanks a lot!
Gina
Houston, TX
Hello Gina! Your friend is correct. There are discounts that you can avail of (depending if you qualify) to get cheap car insurance in Houston. However, I just want to remind you that these discounts may not be offered all the time. The availability of these discounts still depends on the car insurance company.
Here are some of the popular discounts that I am aware of:
- enrolling in a driver’s education program
- getting good grades from school
- having several cars under one auto insurance policy
- having lower driving miles
- safety devices installed in your vehicle
- installing anti-theft devices in your car
- renewing your policy with a good driving and claims history
As to your second question, if you drive carelessly and has a not-so- good driving record, you car insurance rate will be badly affected. In fact, according to the Texas Department of Insurance, auto insurance companies may charge you additional premiums that can go as much as 60% because of some of these violations:
- you are involved in accident, the more accident the higher the additional charge will be
- you have moving violations like speeding
- you are charged with DUI
- you are driving without a driver’s license or with license that is suspended.
Always drive safely to make sure that you’ll continue to get your cheap car insurance in Houston. Always have a safe trip!
Cheap Car Insurance Houston
Reader’s Question:
My husband just got laid off. So, I’m looking on all possible ways to save on everything including on our car insurance. Right now, our car insurance premium is just too much. Can you help me find cheap car insurance Houston?
Janice
Houston, TX
I’m sorry to hear that Janice. I do hope that your husband gets a new job the soonest possible time.
Going back to your question, there are a lot of ways to get cheap car insurance Houston. One sure way is to shop around for car insurance rates.
Do you know that by just shopping around for auto insurance, you can save as much as $100 in a year? Yes, that’s correct Janice. That’s according to the Texas Department of Insurance. All you need to do is to get several quotes from different car insurance companies. If you do that, you can compare car insurance quotes and that alone will give you the chance to get the cheap car insurance Houston that you are looking for.
However, you must not take into consideration the price alone. Please remember that you need to purchase car insurance policy from a trusted company that is licensed to do business here in Texas. You can check that information through the Texas Department of Insurance website.
Also, remember to buy only the auto insurance coverage that you need. I’ve always advised my friends who are driving old cars that it’s not practical to get comprehensive and collision coverage for those kinds of vehicle. Old cars are not worth insuring for those coverages.
Lastly, you can ask your car insurance agent for discounts which your insurer may offer. There are several discounts offered by car insurance companies, you just need to ask for those.
Cheap Car Insurance In Houston
Reader’s Question:
Where do I find Cheap car insurance here in Houston?
Chuck
Houston, TX
Good question. You have a few options, you can contact many insurance agents in Houston to give you an idea of the available rates in your area, or you can go with a car insurance broker and let them search for cheap car insurance in Houston. Obviously, those are both time consuming options. A better alternative would be to begin your search through the Internet. If you are not aware, the Web is a great place to shop for more affordable car insurance coverage. There are many insurance companies, both local and nationwide, advertising rates through the web, making it a very competitive medium for businesses and consumers ultimately benefit from it.
You should begin by running free insurance quote checks from car insurance portals, such as this website, to get a good idea of what’s being offered. You also get the chance to compare rates across many different carriers, making the search for the cheapest rates faster and much convenient.
Another way to get cheap car insurance in Houston (or wherever you may be) is to know the many types of insurance discounts that you may be eligible to get. Here are some of the most common:
1.Defensive Driving Discounts
2.Good Student Discounts
3.Good Driver Discounts
4.Senior Citizen Discounts
5.Military/ Professional / Group Discount
6.Low Annual Mileage Discounts
7.Discounts for adding extra safety/ security features on your vehicle such as automatic seat belts, air bags, anti-lock breaks, anti-theft devices etc.
8.No Claims Discounts
Taxes for Whole Life Insurance Texas TX
Reader’s Question:
Before I sign up for any life insurance policies, I want to know what the tax guidelines with regards to life insurance are. I live in Texas.
Rachel
Houston, TX
Rachel, to understand fully the relationship of taxes and life insurance, you have to know that first of all, premiums paid by the policy holder are not subject to state and federal taxes (Yes, that’s including Texas). Proceeds paid to the insured or policy owner by the life insurance company upon death is not regarded as as gross income and therefore should not be taxable.
However, if the proceeds are included in the estate of the insured, chances are they will be subject to the dreaded federal and state estate and inheritance tax law. Keep in mind that cash value gains of the policy are not taxable unless certain circumstances take place. Knowing these facts, people purchase life insurance products as a hedge against income tax payments on gains made. They are legitimate tax-shelter havens, as savings can increase and not taxed unless the owner withdraws money from the policy.
However there are some life insurance products that are being policed by the IRS. If you are looking to avoid paying taxes for your gains, then you should avoid buying Modified Endowment Contracts. You should also avoid pulling out large amounts of money from flexible-premium policies because once you do that, they are now considered as income and not part of your whole life insurance policy anymore.
Tags: life insurance, life insurance policy
Loading ...