Life
Insurance - An Insurance and Related Services Tool
Life insurance is an insurance and related services tool that addresses
two of the most serious risks you face: the risk of dying too soon and
the risk of living too long. In either case, life insurance can provide
the right amount of money at just the right time, whether it's furnishing
the cash and income your family will need after your death or supplementing
your own retirement income while you are still living.
Tax-free death benefit
No
other product will provide such a large, instant cash windfall, income-tax free*,
at the very time it is needed most.
*Tax-free
death benefits - Proceeds from an insurance policy paid because of death of the
insured are generally excludable form the beneficiary's gross income for tax purposes
(IRC Sec. 101(a)(1).) Consult your tax advisor or attorney on your specific situation.
Benefit
is paid directly and immediately
Your beneficiary will receive
the policy proceeds without the inconvenience of passing through the probate process.
Choice
of coverages
If your protection needs are temporary, you may
prefer the low initial cost of term insurance. For protection needs that are permanent,
however you will want to consider a permanent form of life insurance. You can
even choose a combination of permanent and term protection.
Tax-deferred
accumulation**
Earnings inside a permanent life insurance policy
will accumulate free of current income tax. Taxes are deferred until you receive policy cash values exceeding the money you paid into the policy. (Unless the policy is a modified endowment contract.)
**Tax-Deferred
Growth-Income - Income and growth on accumulated cash values has been held by
the Tax Court to be generally taxable upon withdrawal. (T.H. Cohen, 39 TC 1055
(1963), acq. 1964-1 CB 4 also, IRS. Sec. 72.) Consult your tax advisor or attorney
on your specific situation.
Guaranteed premiums
I can offer you a participating whole life product that offers
you permanent life insurance protection with a guaranteed lifelong premium that
can never increase.
Liquidity
Permanent life insurance allows you to obtain money from the policy's available cash value to meet emergencies or anticipated needs. The money may be received as a policy loan, which is not taxable. (Unless the policy is a modified endowment contract.)
Guaranteed
level premiums with guaranteed values
The premiums on a permanent
whole life policy are guaranteed never to increase. As long as the policy remains
in force, you know exactly what the policy's guaranteed minimum cash values will
be. If you qualify, riders may be added to your
policy with additional premiums. (Not all riders
may be added to all policies.)
A
two-year suicide provision is included in policies (one year in Colorado and North
Dakota). If a policyholder commits suicide during the first two policy years,
only a refund of premiums will be made (Missouri requires coverage for acts of
suicide, unless it can be proved that the insured intended suicide at the time
the application was completed).
The
foregoing is neither a contract nor an offer to contract, but is a general description
of benefits available under a policy providing the benefits outlined. The exact
provisions, terms and conditions of the contract are set forth in detail in any
such policy as may be issued.
American National Insurance
Company, Galveston, TX
American National Property and Casualty Company,
Springfield, MO
These
brief descriptions of coverages available are for illustrative purposes
only, and are not intended as a statement of contract. For actual terms
and conditions of coverage provided, refer to your insurance policy,
or, for more information about coverage options and availability, talk
to your American National agent. All products, coverages, and options
are not available in all states, and eligibility guidelines apply. American
National Family of Companies reserves the right to discontinue programs
at any time.
This
site may have links to other sites, which are not maintained by American
National Insurance Company, it's subsidiaries or affiliates. Such links
do not imply endorsement or approval of these sites or the content therein
by American National, its subsidiaries or affiliates.
