How do I know if Whole Life Insurance is for me?

When choosing the right life insurance, you must first consider which type is best for your needs.  One of those types is whole life insurance.  Whole life insurance is a type of permanent life insurance that provides coverage for your entire life as long as the premium amounts are paid.  Whole life insurance accrues a cash value when a portion of your premiums are invested. 

Our insurance advisors at Baldo-Downs Insurance LLC serving Tuscaloosa, AL could work with you in figuring out if this policy is right for you.

Examine your situation right now

When first deciding if a whole life policy is for me, you must look at your situation right now.  Whole life insurance may be more expensive than term life insurance, but it does last your entire life.  You may be a parent with a disabled child and want the security of knowing that he or she will receive the death benefit as long as you meet the premiums.  You might want to consider the state of your health and your age.  Would term life insurance be enough if you’re not in the best health or if you’re older?

You Need a Cash Value Life Insurance Policy

You may be trying to save for retirement.  In that case, whole life insurance does come with a cash value feature that does grow throughout your policy.  However, financial advisors do recommend turning to 401Ks or individual retirement accounts (IRAs) when saving for retirement.  But if you maxed out your contributions, your whole life insurance can be redeemed.

Contact Us Today

If you’re an Alabama resident trying to save up for retirement or make sure your beneficiaries are financially secured when you’re gone, a whole life policy might be best for you.  Contact our team of insurance experts at Baldo-Downs Insurance LLC to schedule an appointment in Tuscaloosa, AL concerning whether this policy is what you need.   

Will life insurance pay for my burial?

Many people invest in life insurance to help their family members pay burial costs and to help with other living expenses. However, life insurance can be used to provide money for a wide variety of different expenses. Typically, a life insurance policy will list a beneficiary to receive the cash benefit without having to go through probate. The beneficiary can make burial plans after the policyholder has died.

Our team at Baldo-Downs Insurance LLC knows that Tuscaloosa, AL residents may have questions regarding how to use their life insurance policy to pay for a burial. We are here to assist you with this important insurance coverage.

How Does Life Insurance Cover Burial Costs?

The policyholder lists a beneficiary to receive a cash benefit after they pass away. This cash benefit can be applied to burial costs. The beneficiary typically takes the life insurance policy to a funeral home and the funeral home fills out the paperwork. The funds are then applied to the bt cover the burial costs. However, the cash benefit may or may not cover the full burial cost. Anything that’s not covered by the life insurance company will be the responsibility of the beneficiary or their family. The funeral home will claim the benefit on behalf of the beneficiary and apply it to the funeral/burial costs. 


A life insurance benefit is paid to a beneficiary. This means that the beneficiary can use the funds however they see fit. There’s no automatic guarantee that the beneficiary will use those funds to pay for a burial. The beneficiary could use the funds to pay for other expenses. The sole choice in deciding how the funds are spent is left to the beneficiary’s discretion. The beneficiary receives the funds from a life insurance policy shortly after the policyholder has passed away.

Contact Us Today

If you’re concerned about paying for a loved one’s burial and want to know how life insurance can help, call us at Baldo-Downs Insurance LLC in Tuscaloosa, AL. We can answer all of your questions.