We at My Family Life Insurance know it is hard. English is a tough language to learn. You love your family. You understand that you need life insurance to protect your family in case of the unexpected. Nearly all life insurance applications are in English, though. The process makes you disenchanted about applying for life insurance. An application in Spanish would be so much easier. You are in luck. We work with a carrier that has a life insurance application in Spanish. You can even apply on your own! In this article, we discuss life insurance for Spanish-speaking individuals and families.
Types Of Life Insurance Available
For the carrier we work with for Spanish-speaking individuals and families, there are two types of life insurance available. Whole life insurance and term life insurance. Honestly, that is really all that you need. You don’t need that fancy stuff like universal life or indexed universal life. Those options usually confuse people and aren’t in most people’s best interest to buy.
Let’s discuss these two types of life insurance next. After that, we will go into more detail about life insurance for Spanish-speaking individuals and families.
Beneficiaries receive the death benefit free from income tax. In other words, the death benefit is income tax-free.
Whole Life Insurance
Whole life insurance is just as it sounds. As long as you pay the premiums, whole life insurance lasts your entire life.
The cost of whole life can be much more than term life insurance (which we discuss next). There are a couple of main reasons for this:
(1) whole life is designed to last your entire life. In other words, underwritten for your eventual death and 100% expectation of a death benefit payout
(2) whole life insurance contains a cash account (cash value). Over time, this cash value grows.
Whole life can be useful if you want “for life” coverage. Final and burial expenses and used as burial insurance are some of the reasons why whole life insurance makes sense.
Term Life Insurance
Term life insurance is just how it sounds, too. It is designed to last a term or a set period. If you die within this period, your beneficiary receives the death benefit. If you don’t, your beneficiary does not receive anything (unless you have other life insurance elsewhere or you accept the annual term price increases each year).
Term life insurance is much cheaper compared to whole life insurance. The reason is simple: not many people die within the term. Term life insurance is appropriate if (just in case) an unexpected death were to happen. Your family would have a cash benefit to pay for your funeral, pay your mortgage, pay for everyday things like utilities, groceries, and food, and just keep things going (albeit during a difficult time).