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Scott Said:

After a 10 year term life insurance expires, should the premiums double for the next 10 years?

We Answered:

Well, they surely go up. If those are the GUARANTEED rates, then that's what it is.

But you might be able to get a NEW policy, at a lower rate, IF you can be re-underwritten. Maybe even with the same company.

So, shop this out (but get all the shopping done before this payment is due!). And next time, get a 20 year term, guaranteed renewable and convertable. Because every time the term is up, the rate WILL increase, so lock it in for as long as you can.

Darryl Said:

What medications being taken can cause an increase in premiums for term life insurance?

We Answered:

I would guess, any diabetes meds, high blood pressure meds, any meds that treat a condition that is linked to premature death.

Dorothy Said:

Long term care insurance - premiums changing?

We Answered:

The short answer is no. Long term care insurance is not term insurance, it is a life purchase as long as you pay the premium. You should look at your contract which will spell out the premium terms. I have heard of some companies writing adjustable premium clauses into their policies but this is not common in the industry.

Mae Said:

If my employer covers my term life insurance premiums, will that have any affect on its taxability?

We Answered:

To quote Michael M:Usually any benefits over a certain amount that are provided by your employer (I want to say $50,000 but I'm not sure) the company has to list the premium as a post tax benefit.

It is $50,000--check your pay stub. It is a tax on employer-paid life insurance benefits, and sometimes, the employer picks up the bill. It may appear as an in-and-out item on your check stub, though.

The death benefit, however, should be non-taxable. I say should be because, if the beneficiary receives an amount over the face value of the policy, then he or she may have to pay income tax on the amount that is over the face value ($500,000 policy, but they receive $500, 050, they have to report the $50).

Tyrone Said:

Long Term Disability Insurance Premiums - Canada?

We Answered:

your company is correct, you cannot get a tax benefit for something you did not pay for. for example, if you purchase a life insurance policy with after tax dollars the death benefit is tax free as the government would be double dipping (taxing the same money twice). you did not pay for this benefit in this case, the company did, and as such it is income in your hands and it is taxable. your disability coverage is a benefit the company gives you.

-johnny wadd

Billie Said:

What are out-of-pocket policy premiums in a term life insurance?

We Answered:

Life insurance premiums vary with level of coverage, length of term, age and medical underwriting risk assessment.

Bill Said:

What part of the tax code prevents long term care insurance premiums from being deducted pretax?

We Answered:

The part of the tax code that prevents you from deducting long term care insurance is the same part of the code that doesn't say you can deduct it.

The only things that are deductible are the things the tax code says are deductible. Since the code doesn't address a deduction for long term care insurance then it is not deductible.