Leased Car Insurance Texas TX
Reader’s Question:
Leasing a car is really a popular trend, and I am thinking of doing that too instead of buying my own in Brownsville, Texas. I wonder if I should get auto insurance for a leased car in Texas just like if you own one?
Nathalie
Brownsville, TX
It’s good that you asked, Nathalie.
And yes, you are right in saying that leasing cars is now becoming a fast trend. Aside from you get to drive a car that you are not even capable of buying, you also get a new car every couple of years. Also, you won’t have to worry about selling or trading it back. Now since you are leasing your car, you will be covered under the manufacturer’s warranty the entire time you have it, without the burden of worry about it expiring on you.
However, even if you’re just leasing a car, you need to remember that you will always be responsible for getting auto insurance policy for it. This means that the amount you’re required to have can also be greater than what auto insurance in Texas require. It can also be more likely that the auto dealer from whom you lease the vehicle might require that you at least have a collision and comprehensive auto insurance coverage. While collision coverage pays for damages to the car from accident with another vehicle or object, the comprehensive coverage will cover the damage that occurs from any other type of accident of theft.
It is best that you verify from the auto insurance laws on Texas if you will be required to have other forms of insurance as well (can be other types like liability and gap insurance). Or you can shop around for leased auto insurance quotes online by typing your zip code on the relevant space on this page.
Good luck!
Health Insurance Policy Texas TX
Reader’s Question:
Is there anything definite that I should look for in a Texas individual health insurance policy?
Chloe
Austin, TX
There’s definitely a lot, Chloe.
If you are currently shopping around for a health insurance policy in Texas, you need to check if it is non-cancellable, guaranteed renewable coverage. Simply said, it should be a policy that cannot be cancelled as long as your premiums are regularly paid and you do not defraud your insurance company. Be aware that there are some insurance companies that cancel health insurance policies when the policyholder gets sick. This can be legal in many states that’s why you need to be certain that what you will be buying is definitely non-cancellable and is guaranteed to be renewable each year. The next best thing you can pick is a conditionally renewable policy, which reserves the right to cancel all policies similar to yours but in no way can single you out for policy cancellation.
When it comes to a brand new policy, you surely need time for you to review whether or not it is a good coverage for you. That’s basically the reason why you also have to look for a health insurance policy which offers a 10-day recission period, for you to have the chance to cancel the coverage and get your premium back in case you don’t like the coverage.
Finally, get to know the policy well in terms of its coverage, limits of coverage, and start of coverage.
Houston Texas Group Health Insurance
Reader’s Question:
What things do I need to know when applying for a health insurance policy under a group insurance in Texas?
Andy
Houston, TX
Good question, Andy!
If you work for a medium or large-sized company in Texas, the process of your application will be very much simpler compared to applying on your own through a small group. In most cases for large companies, the human resources representative will do almost all the work for you and you are simply asked to fill out an application form.
I see a great advantage for people who apply for health insurance from group coverage under a company that employs a lot of people. A health insurance company would normally be able to offset the costs of those in bad health with those in good health, which will keep your monthly premiums down. If you look at it in a different perspective, your company may be the health insurer and the health insurance company is just the manager of operations who pays the bills and sets the fees independently.
On the other hand, if the company is small, the health insurance company may use information from a small group to calculate the risks, making the process a little complicated with higher premium rates. If it so happened that such small group is composed of mostly 40s, then your rate would naturally be higher than if it were mostly of 20s age bracket.
Infant Life Insurance Texas TX
Reader’s Question:
An insurance company in Texas is offering me an infant life insurance policy. She’s saying that whole life term policy would be much better for my baby than the term life insurance policy. Is she right about this? What is the main factor for me to weigh my options well?
Maria
Dallas, TX
Absolutely not, Maria.
You see, most insurance companies in Texas will really attract you into buying a whole life insurance policy. In your case, since it is a baby life insurance policy, let me guess that the insurance agent is trying to lure you to purchase a whole life insurance policy for your baby instead of the straightforward term life policy by highlighting the cash value which your child can take advantage of in the future.
Though it is true that there is a “cash value” for a whole life insurance policy, you also have to consider future insurability of your infant. Try to look hard enough here. People within the age bracket of 20-30 will have no problem purchasing life insurance nowadays even with a medical condition, as most are insurable. Buying am infant life insurance policy will not get him/her anywhere. It is simply because the face value of juvenile policies remain low, maybe ranging from $5,000 to $10,000. An infant life insurance policy thus becomes a meaningless amount for future insurance.
Aside from that, Texas term life insurance policy will be good enough. Whole life insurance policies usually come with hidden fees and you will find out eventually that you are spending more than the benefits that you are getting.
In my own opinion though, you should first focus first on your own life insurance by making sure that you are not underinsured considering that you already have a baby (I’m assuming this is your first child). Your life’s insurance’s benefits might be enough to take care of your infant’s needs in the event of your premature death.
Whole Life Insurance Texas TX
Reader’s Question:
What’s the big deal about Term life vs Whole life insurance policices? Which one is cheaper in Texas?
Karen
Houston, TX
The “big deal” is the big difference between the two. The simplest perspective I could put such difference into is this: With Texas whole life insurance, the insurance policy runs through out your life as long as you wish. During this period, you are bounded to timely payments. It is a better option if you have long financial objectives in mind. Whole life insurance policy may also provide cash money in case you have temporary needs.
On the other hand, a Texas term life insurance policy promotes a cover for a limited period of time. When you say “period”, it depends on the needs of the policy holder. Time period can be determined by the policyholder on certain clauses, such as major life stages, say from age of high school graduation to completion of college education, or say, for the whole 20 years after retirement.
As opposed to whole life insurance policies, which are often referred to as an investment, term life insurance policies are usually the cheapest life insurance available and are used to pay out benefits to family members upon your death. In a term life policy, you get to choose an amount to be paid upon your death. A whole life insurance policy makes you pay, not for the life insurance, but for a form of savings account. It is more expensive that term life since it accumulates cash value over a period of time, and such cash value can be used in the form of loans with low interest rate.
When you talk to your insurance agent, ask for a detailed explanation on the long-term costs of a term life insurance policy, while check out the possible investment options you can have with the whole life policy. This way, you will see the bigger picture and understand really the “big deal” of each type.
Texas TX Life Insurance
Reader’s Question:
I have learned from my friends that investing in a variable life insurance in Texas can be a little risky, but can be rewarding if investments go well. Aside from the details of this policy given to me by a local life insurance company here in Texas, is there anything else I should need to know more before I purchase?
Sandra
Amarillo, TX
Thats a good question, Sandra
Yes. You need to make sure that there is an accompanying prospectus for your variable life insurance policy. In variable life insurance policy, the Texas insurance company invests your premiums and becomes a “true” investment. The cash value of your policy depends on how well the insurance company invests.
Because of such high risks involved in investment account options, variable life insurance must be sold with an accompanying prospectus. The mandated prospectus is similar in many respects to the one required for new stock issues. Examine carefully at the expense information and investment options all the offers of the insurance company in Texas. You need to make sure that the investment options give you an opportunity to invest at your own risk tolerance and that the expenses are fair to your premiums.
For more options, you may contact your life insurance agent in Texas.