South Dakota Life Insurance: 10 Pay Life Insurance
10 pay life insurance has become an increasingly popular type of South Dakota life insurance, though it is still a relatively new concept. It is a type of whole life insurance policy. If you have never heard of this option, then you can learn what it is and what it can do for you by reading this article.
South Dakota Life Insurance: What is 10 Pay Life Insurance?10 pay life insurance is a South Dakota life insurance policy in which you pay premiums on the policy for 10 years. After the 10 years are up, you no longer have to pay premiums, but you continue to have the life insurance policy. It sounds like a great deal, and it is in many respects, though it may not be the best option in all cases.
South Dakota Life Insurance: Benefits of 10 Pay Life InsuranceThe first benefit is obvious: you only have to pay premiums for 10 years and then you are done paying into the policy. You also get a level death benefit. The death benefit does not drop after you stop paying the premiums at the predetermined time. It also offers you the flexibility of paying monthly or yearly premiums for 10 years, or paying a lump sum premium up front. Overall, you get whole life insurance protection that is permanent and you only have to pay premiums for 10 years. This is quite a benefit, especially if you are one of those people who really hate to send in that monthly life insurance premium check.
South Dakota Life Insurance: Disadvantages of 10 Pay Life InsuranceAs with most anything else, there are some drawbacks to 10 pay life insurance. The major disadvantage is that you are going to be paying much more per month that you would be if the payments continued past the 10 years. You are essentially paying for a lifetime of premiums in only 10 years. Paying for a lifetime of premiums in only 10 years can be costly, but you may save some money. The longer you live, the more you will save as the total premiums are based upon a life expectancy. Also, with some types of whole life insurance policies, you may receive a dividend that can be used to reduce the amount of the premiums.
South Dakota Life Insurance: Options Available on 10 Pay Life InsuranceThe standard options that are available on most South Dakota life insurance policies are also available on a 10 pay life insurance policy. One of the most popular options that can really help you on a 10 pay policy is a waiver of premium rider. If you are temporarily disabled and are unable to make your premium payments for more than a 6 month period, then the premiums will be waived while you are disabled. This can be most beneficial with a 10 pay life insurance policy as the premiums are generally higher. Also, you are not responsible to pay back the premiums you missed while being disabled.
Using South Dakota Life Insurance Rate Quotes to Get the Best Price on 10 Pay Life InsuranceEven with higher premium costs, you can still save money on a 10 pay life insurance policy by comparison shopping. Getting South Dakota life insurance quotes online can quickly and effectively allow you to choose the best policy at the best price. You will be paying the premiums for 10 years. With South Dakota life insurance rate quotes you will save money on each of those premiums. That adds up to big savings. |
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