The cost to replace the tasks performed by a
typical non-working spouse (if caring for children)
is about $61,000 a year.*
Life Insurance
In the most general terms, owning life insurance guarantees that, in the event of the insured’s death, a benefit will be paid to the insured’s beneficiaries. In addition, permanent insurance provides a cash value component from which cash can be accessed for various financial needs such as college tuition, a down payment on a home, business opportunities, and more.
Types of Life InsuranceTerm Life InsuranceTerm life insurance typically has the lowest out-of-pocket cost of all life insurance policies. It does not provide permanent coverage, but instead provides a death benefit for a specified period of time (the “term”).
Whole Life Insurance |
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Whole life insurance is designed for permanent coverage on the life of the insured. With a whole life insurance policy, the premium is guaranteed to never increase and the death benefit is guaranteed for life. It also has a cash value component that builds guaranteed cash value that can be accessed for various needs. Whole life insurance may pay dividends to policyholders. Dividends can be used to purchase additional coverage, reduce the premium, pay back loans or may be received in cash.
Universal Life InsuranceUniversal life insurance can provide coverage for the life of the insured with the cost of the insurance being deducted from the policy’s cash value. Universal life comes in two forms: Current Assumption UL and Death Benefit Guarantee UL. The Current Assumption UL bases policy performance on the interest rates available in the financial markets and premiums may fluctuate based on the interest rate assumptions in the policy.
Variable Life InsuranceVariable life insurance is similar to the Current Assumption UL policy; however, the policy performance is based on the underlying portfolios of securities in a separate account based on the policyholder’s selection. The cash value is not guaranteed and fluctuates based on market performance of the portfolio selected.
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*Fox Business, "The Mother's Day Index: How Much is Mom Worth This Year?", April 29, 2011. The U.S. Bureau of Labor Statistics is the original source cited in the article for this data.
Securities offered through The O.N. Equity Sales, Company. Member FINRA/SIPC, One Financial Way, Cincinnati, OH 45242, 513.794.6794.
Associate is licensed to sell insurance and annuity products in the following states: LA, MS. Guarantees are based upon the claims-paying ability of the issuer. Dividends are not guaranteed.
Associate is licensed to sell insurance and annuity products in the following states: LA, MS. Guarantees are based upon the claims-paying ability of the issuer. Dividends are not guaranteed.