Protect the Lives that Matter Most.

FAQ On Life Insurance

Frequently Asked Questions

Personal paid premiums for your life insurance policy are not tax deductible.  Death benefits are usually not taxed under normal circumstances, but could be taxed based upon an individual’s circumstances.  Be sure to check with your individual broker (or accountant, tax attorney, financial advisor) for a more detailed answer toward your unique circumstances.

DG Benefits receives commission from insurance companies every time a policy is approved and goes into effect.  Additional compensation may be received from insurers based on premium volume placed with a particular insurer. In addition to the individual underwriting characteristics of the various insurance products represented, DG Benefits representatives are compensated based upon their individual focus and dedication to finding the policies that best match our clients’ needs. DG Benefits takes pride in exceeding customer expectations, associate relations, and financial protection for the communities we serve.

Life Insurance quote accuracy depends on the policy type, coverage, various other features, and your answers to the prescreening questions about health, lifestyle, and age.  Truthfully answering prescreening questions will allow us to provide more accurate premium estimates upon approval. Keep in mind, the required health examination may uncover certain risk factors you were not aware of during the screening process; this can increase the original premium quoted.

Premium rates are set based upon your specific risk class as defined by your insurer’s underwriting guidelines, life expectancy, policy amount, and length of coverage.  Underwriters will look at various items including: your income, individual’s age, gender, physical condition (weight to height proportion), smoking (tobacco and drug use), your medical history (current and past health conditions), linear family medical history (your parents, grandparents, and siblings), lifestyle, occupation, driving record, and any hazards involved in occupations or recreational sports.  Illnesses suffered by your family members after age 60 should not affect your premiums.

Yes.  Employer offered life insurance only provides coverage while you are employed by that particular company.  Should employment end, by you or by the employer, the life insurance benefit ends, and you will not have protection for your family or dependents.  It is recommended that you have a personal policy that continues, regardless of employment, that fully protects you in regards to your individual needs and requirements.

The obvious and easy answer would be no, but not so fast.  There are situations where a policy on a child makes perfect sense, which includes: to reimburse your financial expenses from a child passing away (funeral, end-of-life, time off of work, counseling, education, and charitable intent) and buy a policy to lock in a child’s future insurability (develops an excludable medical condition, drug or tobacco use, occupation, and family history).  In the end, it comes down to your family’s financial state because it is most important that the parents have life insurance first.

People of all ages should purchase a life insurance policy.  Life insurance is designed to protect your family and dependents should you pass away suddenly and the amount of coverage chosen is solely dependent upon your personal needs.  Expenses you can help cover with life insurance, upon your death, may include: funeral expenses, end-of-life expenses, any co-signed debt instruments (student loans, car loans, and mortgages), college expenses for your children, family living expenses, and any applicable estate or inheritance taxes required to be paid.