There are two basic types of life insurance protection. Term insurance provides affordable coverage for a specific number of years. This is often the choice when protection needs are high for a limited period of time and affordability is an issue.

       The other option is permanent life insurance. Permanent life insurance provides protection for your entire life (provided premiums are paid) and accumulates cash value tax-deferred. This cash value can be borrowed against in times of need — such as for funding education, buying a home, retirement — although any unpaid loans accrue interest and also will reduce the policy's cash value and death benefit.

       There are pros and cons to each type of insurance protection and the best option for you depends on your needs.
Term insurance allows you to obtain crucial death benefit protection at a lower cost than permanent insurance. There are term policies ranging from 5 years to 20 years. Many of these are renewable. Also, if you purchase a term policy that is convertible to permanent life insurance, you can get the insurance protection you need today with the ability to obtain permanent protection in the future, without proving insurability.

       However, a term policy is only in force for a specific time and once it expires, you lose the death benefit. In addition, if you plan on renewing your policy for a number of years, the long-term costs could be expensive. For example, if someone buys term insurance in their 20s, by the time they are in their 50s the cost of term insurance probably will have outstripped the cost of permanent insurance coverage.

       However, if the choice is between term coverage and no coverage at all, term is likely the better choice. If you choose to purchase term insurance, it's important to find a policy with a conversion privilege, which allows you to convert your term policy to a permanent policy without submitting evidence of insurability. When you convert to a permanent policy, you lock in a fixed and level premium and your coverage can never be cancelled, provided premiums are paid. This valuable feature is usually available within the first few years of the term policy.

       Permanent life insurance provides coverage for your entire life — and the death benefit is guaranteed, provided premiums are paid and no loans or withdrawals have been made. It also accumulates cash value tax-deferred. That cash value can be borrowed against to pay for a down payment on a home, help pay for children's education or provide income for retirement. (Loans accrue interest and reduce the death benefit.)

       Unlike term, many permanent policies enable you to - lock in - the premium amount for the life of the policy. Other plans can offer different levels of premium and benefit flexibility, which you can adjust to suit your needs
Long-Term Care Insurance is still a relatively new type of insurance product and many people do not understand what long-term care insurance policies cover, how and when the policies pay benefits and who needs to obtain coverage.

       Much of the discussion around long–term care is focused on the rising costs of long–term care services, the increasing size of America's retired population, the dramatic increases in expected average life span and the impact the convergence of these factors may have on families and the health care industry.

       Some of the most important benefits of long-term care insurance have been clouded by vague or confusing descriptions and some long-term care facts have been poorly explained. As a result, many people do not have a clear and accurate understanding of the issues surrounding long-term care and long-term care insurance. These articles were designed to help people get around these obstacles and gain an understanding of long-term care and long-term care insurance that can help them make sound decisions about their future.

       Traditional health insurance is the oldest form of health care coverage. Also known as 'Fee-for-Service' insurance, each claim is paid to your medical providers less the portion you are required to meet. It is very straightforward and provides you with great freedom of choice. Typically, you may choose any doctor and hospital of your liking. Should you decide to change doctors, you may do so without any fanfare.
Traditional insurance is also the most expensive form of health coverage. Premiums generally far exceed those of an HMO or PPO. In addition, you will find that traditional plans often provide weak coverage for - well-care - services (physicals, immunizations, etc.).

       You will want to carefully consider what your needs are and what you can realistically afford.
No one plan is right for everyone. It is up to you to determine which plan will best suit you, your family and your employees. By carefully weighing all your options, asking the right questions and educating yourself; you can make a smart decision that will provide you with an excellent health care plan and much needed peace of mind.