As a financial advisor at Rodriguez Wealth Group, I often recommend permanent life insurance policies to clients who want lifelong coverage and a savings component. Unlike term life insurance, which only provides coverage for a specific period, permanent life insurance policies offer coverage for the policyholder’s entire lifetime, as long as premiums are paid.
One of the primary benefits of permanent life insurance is that it has a cash value component that grows over time. This cash value can be borrowed against or used to pay premiums. There are several types of permanent life insurance policies, including whole life insurance, universal life insurance, and variable life insurance, each with different features and benefits.
Whole life insurance is a popular type of permanent life insurance that provides a fixed premium and a guaranteed death benefit. It also has a cash value component that grows at a fixed rate, making it a good option for those who want stable, predictable returns.
Universal life insurance, on the other hand, provides more flexibility, allowing policyholders to adjust the premium and death benefit amounts over time. The cash value component grows based on the performance of underlying investments, making it a good option for those who want to take on more risk for potentially higher returns.
Lastly, variable life insurance allows policyholders to invest the cash value component in a variety of investment options, but also carries a higher degree of risk. This type of policy is ideal for those who are comfortable with market fluctuations and want the potential for high returns.
In summary, permanent life insurance policies offer lifelong coverage and a savings component that grows over time. The Rodriguez Wealth Group can help you select the best permanent life insurance policy based on your needs, budget, and risk tolerance. Contact us today to learn more about our life insurance services.