The experienced life insurance agents at VanAllen/Acentria Insurance can assist you
by designing a policy that best fits your personal or business needs. We want to
help protect those who are most important to you with the right life insurance.
We offer a broad range of optional coverage in Florida.
We also offer a broad range of financial products to help you grow and plan for
There are two basic types of term life insurance policies—level term and decreasing
- Level term means that the death benefit stays the same throughout the duration
of the policy.- Decreasing term means that the death benefit drops, usually in one-year
increments, over the course of the policy’s term.
In 2003, virtually all (97 percent) of the term life insurance bought was level
Whole life or permanent insurance pays a death benefit whenever you die—even if
you live to 100! There are three major types of whole life or permanent life insurance—traditional
whole life, universal life, and variable universal life, and there are variations
within each type.
In the case of traditional whole life, both the death benefit and the premium are
designed to stay the same (level) throughout the life of the policy. The cost per
$1,000 of benefit increases as the insured person ages, and it obviously gets very
high when the insured lives to 80 and beyond. The insurance company could charge
a premium that increases each year, but that would make it very hard for most people
to afford life insurance at advanced ages. So the company keeps the premium level
by charging a premium that, in the early years, is higher than what’s needed
to pay claims, investing that money, and then using it to supplement the level premium
to help pay the cost of life insurance for older people.
By law, when these “overpayments” reach a certain amount, they must
be available to the policyholder as a cash value if he or she decides not to continue
with the original plan. The cash value is an alternative, not an additional, benefit
under the policy.
In the 1970s and 1980s, life insurance companies introduced two variations on the
traditional whole life product—universal life insurance and variable universal life
What are the different types of permanent policies?
- Whole or ordinary life
This is the most common type of permanent insurance policy. It offers a death benefit
along with a savings account. If you pick this type of life insurance policy, you
are agreeing to pay a certain amount in premiums on a regular basis for a specific
death benefit. The savings element would grow based on dividends the company pays
- Universal or adjustable life
This type of policy offers you more flexibility than whole life insurance. You may
be able to increase the death benefit, if you pass a medical examination. The savings
vehicle (called a cash value account) generally earns a money market rate of interest.
After money has accumulated in your account, you will also have the option of altering
your premium payments – providing there is enough money in your account to cover
the costs. This can be a useful feature if your economic situation has suddenly
changed. However, you would need to keep in mind that if you stop or reduce your
premiums and the saving accumulation gets used up, the policy might lapse and your
life insurance coverage will end. You should check with your agent before deciding
not to make premium payments for extended periods because you might not have enough
cash value to pay the monthly charges to prevent a policy lapse.
- Variable life
This policy combines death protection with a savings account that you can invest
in stocks, bonds and money market mutual funds. The value of your policy may grow
more quickly, but you also have more risk. If your investments do not perform well,
your cash value and death benefit may decrease. Some policies, however, guarantee
that your death benefit will not fall below a minimum level.
- Variable-universal life
If you purchase this type of policy, you get the features of variable and universal
life policies. You have the investment risks and rewards characteristic of variable
life insurance, coupled with the ability to adjust your premiums and death benefit
that is characteristic of universal life insurance.
What are my health insurance choices?
There are essentially two types of health insurance plans: indemnity plans (fee-for
services) or managed care plans. The differences include the choice of providers,
out-of-pocket costs for covered services and how bills are paid. There is no one
"best" plan for everyone. Some plans are better than others for you or your family's
health care needs, but no one plan will pay for all the costs associated with your
A. INDEMNITY PLANS
Cafeteria/Flexible Spending Plans are employer-sponsored plans that allow the employee
to design his or her own employee benefit package, choosing between one or more
employee benefits and cash. Several types of Flexible Benefits or Cafeteria Plans
are used by employers, including a pre-tax conversion plan, multiple option pre-tax
conversion plan, medical plans plus flexible spending accounts, and employer credit
cafeteria plans. For more information about these choices, contact your employee
Indemnity Health Plans allow you to choose your health care providers. You can go
to any doctor, hospital or other provider for a set monthly premium. The plan reimburses
you or your health care provider on the basis of services rendered. You may be required
to meet a deductible and pay a percentage of each bill. However, there is also often
an annual limit on out-of-pocket expenses, so that once an individual or family
reaches the limit, the insurance covers the remaining eligible medical expenses
in full. Indemnity plans sometimes impose restrictions on covered services and may
require prior authorization for hospital care or other expensive services.
"Basic and Essential" Health Plans provide limited health insurance benefits at
a considerably lower cost. When buying such a plan, it is extremely important to
read the policy description carefully because these plans don't cover some basic
treatments, such as chemotherapy, certain prescriptions and maternity care. Furthermore,
rates vary considerably because, unlike indemnity plans or a managed care option,
premiums are community rated and are based on age, gender, health status, occupation
or geographic location.
Health Savings Accounts (HSA) are a recent alternative to traditional health insurance
plans. HSAs are basically a savings product designed to offer individuals a different
way to pay for their health care. HSAs enable you to pay for current health expenses
and save for future qualified medical and retiree health expenses on a tax-free
basis. Instead of paying a premium, you establish a tax-free savings account that
covers your out-of-pocket medical expenses. This means that you own and control
the money in your HSA. You make all decisions about how to spend the money without
relying on a third party or a health insurer. You also decide what types of investments
to make with the money in the account in order to make it grow. However, if you
sign up for an HSA, you are generally required to buy a High Deductible Health Plan
High-Deductible Health Plans (HDHP) are sometimes referred to as catastrophic health
insurance coverage. An HDHP is an inexpensive health insurance plan that kicks in
only after a high deductible is met of at least $1,000 for an individual or $2,000
for a family.
B. MANAGED CARE OPTIONS
Health Maintenance Organizations (HMOs) offer access to an extensive network of
participating physicians, hospitals and other health care professionals and facilities.
You choose a primary care doctor from a list provided by the HMO and this doctor
coordinates your health care. You must contact your primary care doctor to be referred
to a specialist. Generally, you pay fewer out-of-pocket expenses with an HMO, but
you are often charged a fee or co-payment for services such as doctor visits or
Point-of-Service (POS) plans are an indemnity-type option in which the primary care
doctors in the POS plan usually make referrals to other providers within the plan.
If a doctor makes a referral out of the plan, the plan pays all or most of the bill.
However, if you refer yourself to an outside provider, the service is covered by
the plan, but you will be required to pay co-insurance.
Preferred Provider Organizations (PPO) charge on a fee-for-service basis. The participating
doctors, hospitals and health care providers are paid by the insurer on a negotiated,
discounted fee schedule. Costs are lower if you use in-network healthcare services,
but you have the option of going out-of-network. If you choose an out-of-network
provider, you are generally required to pay the difference between what the provider
charges and what the plan pays.
If you would like information about other types of life insurance, Contact Us. We will be glad to answer any questions you may have.