Extended Term Insurance - Basic Information on How It Works
Posted by ankita on July 22nd, 2016
Many families overlook the need for insurance and do not include it in their list of factors to consider when they are planning the financial future. An extended term insurance is a form of life insurance but it is formulated to make the whole package of a life insurance more attractive to the client. This has a non-forfeiture option which utilizes the cash value of the ordinary life insurance policy as a single premium to buy the insurance at the same amount as that of the original policy. The term of the policy can mature depending on two factors: the size of the cash value and the age of the insured individual.
If someone buys a whole life insurance policy, a part of that premium which they are paying for will go towards amassing a cash balance. Through the years, that amassed cash amount has the potential to grow considerably. Now, if the individual does not continue paying the insurance premiums they would have to give up or forfeit the total cash amount in favor of the insurance company. One way that could prevent this problem from happening is if the life insurance company would begin a non-forfeiture option called the extended term. There is usually a provision in many of the life insurance policies which can give the insured the alternative to continue with the existing amount of insurance for the same length of time as when they first signed the contract when they bought the insurance.
The extended term insurance is usually extended to an insurance policy holder who could no longer afford to continue their payments for the premiums. Instead, they would now be given the extended term insurance. The insurance company will then take the leftover balance of the money for the policy and they would use that sum to buy the term insurance. The policy holder would now be fully covered by a term life insurance policy that could last to a specific length of time. The length of the term insurance policy would now only depend on how much the balance of the money was at that time the policy holder gave up his policy payments.
If you would like to learn more about extended term insurance.
About the Authorankita
Joined: July 16th, 2016
Articles Posted: 67
Roulette Boss - How To Win At Online Roulette Like a Boss!
The Roulette Boss is the best online roulette system available today, guaranteed. Purchase our system today and you will discover a long-term winning roulette system that really works!
Jazz Education and Information
The Official Barry Harris Website for Jazz Education and Information
It Pays To Blog | The ultimate guide to making an income from blogging
Want to create long-term income on your terms? Follow the steps in It Pays To Blog to build an online business that will create a passive income for years!
Acca Tipster - Football Accumulator Tips - Doubles & 5-Fold Specialists
With AccaTipster, an accumulator expert reveals how to make effortless profits that only takes 15 minutes a week. This works for everyone, even if you are 100% new to accumulator betting. By choosing AccaTipster you will get access to easy to follow email
7 Days to 1K Challange
Do you want to profit tips that will start earning you money in just 7 days? Submit your email today for more information.
Recondition Your Old Batteries Back To 100% Of Their Working Condition — EZ Battery Reconditioning
Learn how to easily recondition old batteries back to 100% of their working condition. Our battery reconditioning methods works for nearly all types of batteries (car, phone, laptop, solar/wind, forklift, golf cart, marine batteries - PLUS a lot more)!