Katie Yount is a seasoned insurance agent in Fair Oaks who recently celebrated her 4th anniversary running her own State Farm office. Katie Yount State Farm Insurance was awarded the Best Insurance Agency and Citizen of the Year 2022 at the Best of Fair Oaks awards gala, reflecting her active involvement in the community. She is always willing to help with community events, and if you need help with insurance needs, Katie is easy to talk to and can quickly assist you.
Katie was my guest on Fair Oaks Live, and we talked about Life Insurance. Here is a summary of our conversation.
You’re not alone if you have ever felt overwhelmed or need clarification about insurance. It can be challenging to understand all the options and what’s best for you and your family. In this article, we’ll review some of the basics to help you feel more confident in making informed decisions about insurance.
First, let’s talk about the difference between term and permanent insurance. Term insurance is coverage for a specific period, usually 20 or 30 years, and is suitable for particular needs like a mortgage. Permanent insurance, on the other hand, is meant for permanent needs like end-of-life expenses and has a cash value that increases over time. This cash value can also be used as a savings account and passed on to your beneficiaries.
Another important consideration is whether you should have life insurance through work or get your own policy outside of work. Work policies are great as a supplement, but if you leave that job or stop working, you’ll no longer have that coverage. So it’s crucial to have your own policy that you control and can take with you no matter what.
When it comes to life insurance, many people wonder if the death benefit paid out to beneficiaries is tax-free. The answer is yes; the death benefit is 100% tax-free. Policy options are also available to ensure your children, which can be very inexpensive, starting at around $25 a month.
Life insurance has cash benefits that build up over time. You can draw cash out for things like college tuition or a down payment on a house. Think about starting a policy for your children while they are young. They get a lower payment rate that will stay the same as they get older. And they could even pull out money when they want to get a car or go on a memorable trip in high school.
What if you get sick and need to use your policy? “Don’t worry; State Farm Insurance won’t cancel your policy, and your rates won’t go up,” says Katie. “There’s even an endorsement on policies that allows you to borrow from it if you’re terminally ill and have medical bills or other expenses.”
Get in touch with Katie Yount State Farm Insurance to answer your questions about all of your insurance needs. Auto Insurance, Home Owners or Renters Insurance, Pet Insurance, and more!