Massachusetts Insurance Frequently Asked Questions and Solutions to Help Mass Residents Better Understand Their Insurance Options and Save Their Hard Earned Money

Not all life insurance policies are the same. There are four basic types of life insurance: Term Life Insurance, Whole Life Insurance, Universal Life Insurance, and Variable Life Insurance.

It depends on your individual financial circumstances. Social Security and some retirement plans available through employment cover burial costs and may provide a continuing income for dependents after a retiree's death. Some consumers are able to use the accelerated death benefit rider available in some life insurance policies to cover nursing home costs, but this will usually not provide the same amount of protection as long-term care insurance.

Make sure you understand the policy before you buy it. But, you will also have at least ten days after the policy is delivered to you to return the policy. This is called a free look period. If you do this within ten days, the company will return all of the premiums you have paid.

Some common factors include; the amount of the annuity you wish to buy, your age and gender, the payment option you have selected and any payment guarantees that are in your annuity. Variable annuities generally allow you great flexibility in how much money you choose to invest in your annuity. However, there may be minimum or maximum amounts you can contribute. The value of your annuity will be determined by how much you choose to invest and the performance of the investments you choose. osts of both fixed and variable annuities are also affected by the insurance company's administrative fees and expenses, including overhead, agent commissions and other costs of doing business.

In addition to a retirement income, an annuity may have other benefits, such as an option to use the funds for nursing home costs. An annuity with additional benefits may qualify as a "two-tier" annuity.