New Hampshire Life Insurance
Buying New Hampshire life insurance doesn't have to be confusing. Just take some time to understand your options and then make the choice for life insurance in NH that makes sense to you. If you have questions about your life insurance needs, your New Hampshire agent or the insurance company itself will be able to clear them up for you. Don't be shy about asking for clarification when you need it. NH life insurance policies are not always written in language that is easy to understand.
New Hampshire Whole Life Insurance
One option that is available to New Hampshire residents is to buy whole life insurance. One of the advantages of this product is that once you buy it, you are protected for life. The policy does not expire or need to be renewed some years down the road.
There are two kinds of whole life insurance policies available to NH consumers:
- Non-Participating
- Participating
When you buy a non-participating NH whole life insurance policy, it means that once the policy has been issued, you cannot change it in any way. This type of policy does accumulate a cash value over time, which means that when you pay your premiums you are also participating in a savings plan. The "non-participating" designation means that you, as a policyholder, do not share in any portion of the insurance company's dividends.
If you choose to buy a participating NH whole life insurance policy, your policy has a guaranteed cash value as long as it remains in force. You may also receive dividends from the insurance company, but these are not guaranteed.
The dividends can be used in the following ways:
- They can accumulate interest at a rate set by the insurer.
- You can use them to buy additional coverage.
- Dividends can also be used to reduce the amount you pay for your insurance premiums.
The fourth option for using your dividends is to decide to take them as a cash payment. If this is your choice, the insurance company will send you a check once a year.
New Hampshire Term Life Insurance
New Hampshire term life insurance is another option available to NH residents. Unlike whole life insurance, this type of coverage only protects you for a certain amount of time. Once the "term" of the insurance policy is finished, then your policy expires.
You will have the option of choosing the term you want coverage for when you buy the policy. The premium you pay will depend on the length of time the policy will be in force, and you will be able to choose a term ranging from 1 year to 30 years.
Term insurance pays only a death benefit and does not accumulate a cash value over time. However, if you only want or need life insurance coverage, it is an economical insurance product, and worth considering as term is the cheapest form of New Hampshire life insurance.
New Hampshire Life Insurance: Exchanging Your Insurance Policy
If you have a New Hampshire life insurance policy with a cash value, you may be able to exchange it for a new policy without any tax consequences. Exchanging your existing life insurance policy may be the right choice for you under the following circumstances:
- You become aware of a better rate for your insurance coverage.
- You have concerns that the insurer you have selected may not be able to pay out on your life insurance claim when the time comes.
- The new policy you are considering has better coverage or other attractive benefits.
The Internal Revenue Service (IRS) will allow a policyholder to exchange one life insurance policy for another one as long as it is a straight exchange. In other words, you cannot get a check from your present insurer for the cash value of the policy and use it to buy a new one. In a situation where you are at or close to retirement age, you do have the option of exchanging your life insurance policy for an annuity instead. This type of insurance product provides a guaranteed income for life.
Find And Compare New Hampshire Life Insurance Quotes Online Now!
Are you ready to learn more about New Hampshire life insurance right now? There's no need to delay - the insurance quote tool at the top of this page means that you can get the information you need to choose the best plan quickly and easily. Just click on it to get started comparing NH life insurance quotes from competing companies quickly and easily!