Answer to Readers Question: You should search Florida Department of Insurance Statutes for Guaranty Fund and Insolvency for this information because you need to name the insurance company.

I cannot determine the amount of guaranteed coverage and therefore I recommend you call their office for the information as you would have to answer questions, give your policy number,and amount.

Remember, the policy must be issued by a licensed insurer to be covered by the Guaranty Fund. Also, some companies may be non-authorized or Surplus Lines. These companies are not covered by the Guaranty Fund. That means you’re on your own if they go bankrupt.

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Answer to Readers Question: You may want to ask your agent or company about your policy specifically. However, what typically happens is that if you have had a policy with the rate of a non-smoker for more than two years and need to file a claim, and the insurance company discovers that you are and have been a smoker, the company may take part of the death benefit to pay the difference in back premium between a smoker and non-smoker. So, in essence, the death benefit will be smaller to pay the back smoker premiums. The reason two years makes a difference is because the incontestability clause may play a part in how the death benefit is paid or not-paid. In this case, it may not play a role. I would ask either a company representative anonymously or maybe even your agent.

Remember there is a two year contestability period on all life insurance. If you die before then they don’t have to pay. The life insurance company is stuck with the policy and must pay the full claim, as long as the applicant did not lie during the application process.

Answer to Readers Question: No, often times they will, if they choose to do so but they have no legal obligation to do so. It is up to the individual to inquire for themselves.

Answer to Readers Question: Yes, the IRS can size any life insurance benefits if you owe back taxes and are going to receive a life insurance benefit settlement.

The insurance company cannot be forced to make a check payable to the IRS or any creditors. But if you are the person who receives the proceeds and you owe money to the IRS, it won’t be long before they will put a lien on your bank account. It would be wise to ask your parents to leave the insurance benefirts to a trust and you an your family as trustees, then the IRS cannot get the money since it will not be yours, but you may receive income from the trust..see an estate planning attorney to set this up for you.

Answer to Readers Question: Life insurance reinstatement or life insurance revival are two different terms for the same thing: it means that if an insurer puts back into force a life insurance policy that has been terminated for non-payment of premiums or a life insurance policy that has been continued as an extended term or reduced paid-up insurance.

Thanks ms

Readers Answer: Finding the best life insurance for your needs can be a daunting task. You can get a free quote today if you go on life and search for what you really need. It only takes a few minutes.

There is no waiting, monthly rates are as low as $3.27for adults and $2.43 for children. You can get an instant term life insurance with no medical exam for a coverage of $500,000, if you are in good health.

Its easy and cheap to protect your wealth.

Answer to Readers Question: Todd it is really simple: A life insurance trust is used to remove the assets and death benefit of the life insurance policy out of the insured’s estate for estate tax purposes. If the insured were to remain the owner of the policy, the policy procedes would be estate taxable at the time of death. This is a non-issue if your assets are less the the allowable estate tax limits.

Answer to Readers Question: Todd it is really simple: A life insurance trust is used to remove the assets and death benefit of the life insurance policy out of the insured’s estate for estate tax purposes. If the insured were to remain the owner of the policy, the policy procedes would be estate taxable at the time of death. This is a non-issue if your assets are less the the allowable estate tax limits.

David the answer to your question: Systems, processes and procedures are all used by the staff responsible for policy processing. Here, new policy processing includes all functions from new policy data capture, through underwriting and rating to policy issue. Policy maintenance wraps the policy change and endorsement steps and extends to renewal, cancellation, reinstatement etc. Management, statistical and regulatory reporting are components too.

Thanks MS

Well Joe, the easiest and cheapest way to go is to purchase a $50,000 with no medical exam required. You only have to answer a few yes or no health questions. There is no waiting period, you can get full coverage on the first day. It is so easy to apply on line or buy your policy directly by mail.

You can get a monthly rate as low as $3.27 for adults and $2.43 for children. In most cases you only pay $1.00 for the first month. Then the rates are based on your current age and are guaranteed for the life of the policy. Your benefits are paid free of federal income tax. Your coverage is also available for your spouse and other family members. Remember that your benefits will NEVER be canceled or reduced for the life of the policy is premiums are paid on time.