What financial protection do I need for myself and my family? The insurance companies of National Life Group can help you to meet the most fundamental of your financial needs: protecting your family should you die prematurely, providing a source of income if you become ill or disabled, and providing for an adequate retirement income. Generally speaking, life insurance provides for the first two, while annuities provide for the latter.
This guide is designed to help you decide, with your agent, how to best meet your financial protection needs. And, keep in mind, you may have a need for both life insurance and an annuity. Check the boxes that correspond to the needs you are trying to meet. Add up the check boxes, and talk with your agent about what type of product would be best for you based on the answers you’ve provided.
Protection
Retirement
I have dependent children, a spouse, or older family member who depends on my wages I am part of a working couple with debt I am planning to start a family I own a home I am worried about income protection if I become ill or disabled I have the ability to pay premiums for an extended time without interruption If you checked one or more of these boxes, you should consider life insurance. Ask your agent what type of policy best suits your current needs and financial situation.
I need a guaranteed future source of income I want to save for the future and protect my savings from losses due to market conditions I am worried that other sources of retirement income – a pension, or Social Security for example – will not meet all of my future income needs I want to be able to stop and restart paying premiums at any time without risk of policy lapse. If you checked one or more of these boxes, you should consider an annuity. If your most important financial need is to ensure income in retirement, an annuity might be right for you.
Why life insurance?
Why an annuity?
Life insurance protects your family against the loss of your income should you die. It helps pay for funeral costs, cover household expenses and secure your family’s financial future. With Accelerated Benefit Riders (ABRs) life insurance can also be a source of income if you become ill or disabled.2 While life insurance can, when properly structured and under the right financial circumstances, provide supplemental retirement income through loans or the Lifetime Income Benefit Rider, it’s primary purpose is to provide a death benefit to those left behind should you die. Keep in mind, you must be able to pay premiums without interruption over a long period of time to keep your insurance in force.
Annuities are designed specifically to provide guaranteed income in retirement.1 At its simplest, an annuity is an insurance product which guarantees you a steady stream of income for a specific period or the rest of your life. Annuities can be purchased with a single premium, or with smaller, ongoing premiums (also called flexible premiums). With an annuity, you can receive income through periodic withdrawals, by annuitizing the contract or, where available, through a Guaranteed Lifetime Income Rider that provides an income guaranteed for life, even if your policy value is depleted. Annuities are an excellent savings vehicle in 403(b) and 457(b) plans. They also offer an attractive addition to IRAs, 401(k)s, pensions, social security and other benefits in a well-structured retirement plan.
To learn more about life insurance and annuities, talk to your agent and visit www.NationalLife.com
Life Insurance Company of the Southwest™ | National Life Insurance Company® 1 Guarantees are backed by the claims-paying ability of the issuing company. 2 Receipt of accelerated benefits will reduce the policy’s death benefit and cash value and may result in a taxable event. There are no restrictions on how the benefit received is used. Accelerated benefit riders are available at no additional cost. Products and riders are issued by Life Insurance Company of the Southwest and National Life Insurance Company, members of National Life Group. Each insurance company is responsible for its own financial condition and contractual obligations.
Experience Life
®
Form 10453(0111)