TXINS October E-News: Who Needs Universal Life Insurance?, Ask the Agent, Agency Happenings, Texas Trivia & More!



Who Needs Universal
Life Insurance?

Universal life insurance is one type of permanent life insurance that can provide security for your family. Universal life insurance provides for death benefits and has a cash value feature that can help meet your future financial needs.


What is the Definition of Universal Life Insurance?
Universal life insurance is one type of permanent insurance designed to stay with you for your entire life. The other main type of permanent life in insurance is called whole life. These permanent policies differ significantly from term life insurance, which insures you for a specified period of time and only pays a death benefit. Permanent policies have a cash value accumulation feature not found with term life insurance.
Although there are some alternatives to how you purchase whole life insurance, universal life insurance offers more flexibility. A universal life insurance policy has two main features that set it apart from whole life insurance. These include:

  • Adjustable death benefits: The death benefit can be increased or decreased at the policy holder’s request.
  • Flexible premiums: You can choose different methods of payment for your premium.

Is Universal Life Insurance Right for You?
Universal life insurance is a good insurance plan to consider if you are interested in covering any of the following:

  • Income replacement – To provide financial security for your children and/or spouse
  • Funeral Expenses – To cover funeral costs and outstanding medical expenses
  • Debts – To pay for outstanding business or personal expenses such as business loans or your mortgage, personal loans, and credit cards
  • Estate – To provide cash liquidity to cover federal, state inheritance, or unpaid taxes
  • Retirement Plan – If you have need for an income tax shelter or want to maximize your pension
  • Charitable Gift – If you want to donate the policy proceeds directly to a charity or place them in a charitable trust
  • Business Reasons – If you have an existing buy/sell agreement with business partners, or want to use the benefits for an executive bonus incentive

Comparing Universal Life Insurance Policies
A universal life insurance policy has a variety of options to allow you to select the most ideal plan for your individual situation. The policy plans you can choose from include:

  • Basic Universal Life – This comes with a guaranteed but flexible death benefit and a cash surrender value which is tax deferred and accessible as a loan or can be borrowed against.
  • Survivorship Universal Life – This means the proceeds are only paid out when the last surviving person who was insured in the policy dies.
  • Joint Universal Life – This means that the proceeds are paid out on the death of the first insured person who dies.
  • Variable Universal Life – This allows you to use the cash value portion as an investment tool for a variety of investment options.
  • Index Universal Life – This type of universal life insurance allows you to invest the cash value into an equity index such as the S & P 500 or the Dow Jones.

Comparing Premium Options for Universal Life Insurance
Premium flexibility is one of the advantages of universal life insurance. Your premium options include:

  • Single Premium – This is a one-time lump sum initial payment that pays for the purchase of the policy
  • Fixed Premium – Where specific amount premiums are paid periodically and usually last less than the life of the policy
  • Flexible Premium –.Allows you to vary the amount of premiums you pay within certain limits

What Can I Do with the Cash Value?
The cash value accumulation feature in a universal life insurance policy offers several choices:

  • Withdraw a portion of the cash value that you have accumulated to use as you wish
  • Borrow against the cash value accumulation; this may be repayable, and interest may apply

Universal Life Insurance from your TXINS Agent
Universal life insurance can be an excellent way to protect your loved ones. Its flexibility allows you to alter the death benefits and premium options, and may provide you with applicable investment options. You can set up a policy which is tailored for your specific financial needs with a little help from your TXINS independent agent.

We Are Here for You 

Texas Insurance & Financial Services, Inc. is your trusted advocate. As an independent insurance agency, TXINS represents a wide network of A-rated insurance companies, which allows us to find the best insurance policy to fit your needs and budget. We don’t believe in cookie cutter policies and will customize a plan specifically for you. Your overall satisfaction is our top priority. That’s a promise.

TXINS offers complimentary insurance reviews to ensure you are getting the right coverage for yourself, your family, or your business. To schedule your review, contact us today at 800-541-9849 or via email. Together, we will ensure you are protecting what matters most.

The employees of TXINS are active members in our communities. Here’s a quick list of what we have planned for the month.

  • The Traditions Insurance team has been attending several update training classes that help keep them informed on changes in policy material. The classes have been held in Victoria, San Antonio, and New Braunfels.
  • Mr. Sorrel, Kara Wood, Hector Gutierrez, and Nancy Pfeil will be attending the Hochheim Prairie Annual Agent Conference in San Antonio on October 8-9.
  • Amber McDonald and Allison Silvas will be attending the Central Fort Bend Chamber of Commerce Business Expo on October 31 from 10 a.m. to 2 p.m. at the Fort Bend County Fairgrounds. The Expo showcases products and services from local Fort Bend County businesses with an emphasis on conducting business locally. For more information or to register to attend, click here.
  • All three branch locations will be participating in Pink Out Friday this month (date TBA) in support of breast cancer awareness month. Be sure to keep checking out our Facebook page for more information and fun photos of our staffers!
  • Happy October birthday to Marilynn Sorrel, Christina Carrasco, Nancy Pfeil, and Elyse Hlavinka! We hope you enjoy your special day!
  • Happy October work anniversary to the following TXINS staffers: Yvette Smith-3 years and Kim Cole-2 years. We are so proud to have each of you as a member on the TXINS team!
  • Be one of the first three people to answer the Texas Trivia question correctly and win your own full-sized Texas flag!

TXINS_B&GClub
TXINS was a proud sponsor of the Boys & Girls Club Annual Ball on September 7. Representing the agency at the event were (left to right): Celeste and Trent Socha, Tyler Rolirad and Elyse Hlavinka, and Troy and Lindsey Malek.

David_Green
David Green joined the Traditions Insurance team almost a year ago and has done a fantastic job keeping our crop clients up to date on the latest crop insurance information. He brings a wealth of knowledge to the team and if he doesn’t know something, he’s quick to find out. He is described by his co-workers as kind, easy going, and great to work with. We’ve enjoyed having him on our team and appreciate his hard work! To learn more about David, click here.

Dear TXINS:

There are a few companies in my area offering “notary on call” services and the chance to earn a little extra money is enticing. What concerns should I have about doing something like this?  – Janine P., Houston, TX

Dear Janine:

As a notary, you are dealing with important and sensitive documents. Even an unintentional error can cost you a lot of money. You don’t want to put your personal or business assets at risk, which is why notary insurance may be a smart investment.

Two Policies All Notaries Need

  • Notary errors and omissions insurance: Protects you from unintentional and unknowing acts that can lead to lawsuits
  • A notary public surety bond: Enables you to pay a judgment, settlement, or claim against you if you do not have the financial ability to do so

What Is Notary Insurance?
Notary insurance primarily consists of an errors and omissions policy that protects you if a client experiences a loss or injury due to your negligence, misinformation, or other errors.
Additionally, there are other business coverage types you may want to include in your insurance portfolio. These include:

  • General liability insurance: This is a basic liability policy that nearly every business should maintain to protect against a wide range of potential liability claims.
  • Commercial vehicle insurance: If you travel by car to do your notary work, you may want to cover your vehicle, as it may not be covered by your personal auto policy when you use it for commercial purposes.
  • Notary public surety bonds: In most states you will be required to hold a notary public surety bond in order to perform notary work. While these are not technically insurance policies, many insurance companies offer notary bonds you can purchase.

What Is Notary Error and Omissions Insurance?
The key component of your asset protection and risk management coverage is errors and omissions coverage (E&O policy). This protects you if you notarize a document improperly and unintentionally. This policy does not protect a notary who intentionally notarizes paperwork incorrectly, nor will it cover any liability issues outside of your notary practice.

The E&O policy provides the following protection if a claim is filed against you:

  • Provides for expert legal defense from insurance company attorneys 
  • Covers court costs and attorney fees
  • Pays claims if you are found at fault, up to the policy limit
  • Deters people from filing false claims against you

There are three kinds of errors and omissions coverage that you want to be aware of:

  • Regular notary E&O insurance: Covers up to $100,000
  • High-limit notary E&O insurance: Covers up to $2 million
  • Signing agent E&O insurance: Covers “gaps” in traditional notary E & O insurance

A notary errors and omissions insurance policy is a must-have policy if you are a notary. According to state laws, the notary public has unlimited financial liability if he or she causes the public harm as a result of an error or omission.

What Gaps Does Signing Agent E&O Cover?
Many traditional notary E&O policies only cover the actual notarizations in a loan package. Signing agent E&O policies would also cover additional mistakes, such as:

  • Overlooked initials or unnotarized signatures
  • Improperly dating the Right of Rescission
  • Erroneous corrections made to documents
  • Returning time-sensitive documents late
  • Not completing the document signing on time

What Is a Notary Public Surety Bond?
Most states require notaries to carry a notary bond while in office. A notary bond is a surety bond issued by a state licensed company that protects the public if the notary makes a mistake that causes financial damage to the public.

Unlike E&O insurance, this bond covers intentional acts by the notary, as well as unintentional acts. Normally the bond is between $500 and $15,000. This is not an insurance policy. If the notary has to pay a claim and the bond is used, the money will have to be reimbursed by the notary, as required by law.

Damages can exceed the amount of the bond. If this is the case, the damages may or may not be coved by errors and omissions insurance depending on the intent of the notary who committed the error.

Do you have a question for our agents? Email it to us! If we choose your question, we’ll send you a thank you gift! Be sure to include your mailing address and phone number in your email.

 

Refer_a_Friend

Congrats to Jessica Lopez of Rosenberg, TX, our September Referral Program winner! Thanks for your referrals, Jessica!

If you love Texas Insurance & Financial Services, Inc., tell a relative, friend, or co-worker about us. When they call to receive a quote make sure they let us know that you referred them.

As a thank you, you’ll receive a surprise gift and will be entered into our monthly gift card drawing and our annual Grand Prize drawing for a $1,000 gift card!!!

(Grand Prize drawing will be held on December 7, 2017.)

Hotel_Galvez_Galveston

Texas Trivia

With a state the size of Texas, there are plenty of places to visit if you’re up for a little ghost hunting this Halloween season. Galveston has been called one of the most haunted town in all of America because of the sheer number of places said to have spirits lurking. A few of these places include the Hotel Galvez, the Ashton Villa, and the Tremont Hotel.

The Hotel Galvez is said to be the oldest hotel on the island. It opened its doors in 1911 and was called the Queen of the Gulf. It’s interior was said to have rivaled the Titanic’s and had amenities including the first electric potato peeler, ice maker, and ice cream maker. In it’s early years, the Hotel Galvez hosted many famous people and was the shining star of the island.

Although the hotel is said to have many active spirits roaming its halls, the Lovelorn Lady is the most popular ghost in residence. She’s been heard, seen, and felt by numerous staff and guests. The story goes that a bride-to-be named Audra was a guest of the hotel while her fiancé was out to sea. She checked into room 501 and would often take the elevator to the 8th floor and climb the narrow ladder that opened into one of the four metal ribbed turrets that sit on each corner of the main roof. She would sit inside the turret and watch through the opening for her fiance’s ship. After a powerful storm Audra heard her fiancé‘s ship had gone down and all hands were lost. In grief and despair, she hung herself in room 501. A few days after her death, Audra’s fiancé arrived at the hotel to meet his bride only to learn the tragic news. Audra’s ghost has haunted room 501 ever since. According to the legend, what certain scent do guests report smelling when Audra’s presence is near? Email your answer to Kara Wood. If you are one of the first three people to answer correctly, you’ll win a full-sized Texas flag!

Show Your Spirit, Texas!

Trusted_Choice_Logo

TXINS is proud to be a Trusted Choice® agency. We are dedicated to you and are committed to treating you as a person, not a policy. This commitment means we will:

  • Work with you to identify the insurance that is right for you, your family or your business, and use our access to multiple companies to deliver those products.
  • Guide you through the claims process for a prompt and fair resolution of your claim.
  • Help solve problems related to your coverage or account.
  • Thoroughly explain the coverage and options available to you.
  • Return your phone calls and emails promptly and respond to your requests in a timely manner.
  • Use our experience and company relationships to customize coverage specific to your unique needs.
  • Treat you with respect and courtesy.
  • Conduct our business in an ethical manner.

This is our promise to you. For more information on Trusted Choice, click here.

From our customers…

“WOW! Excellent service every time I’ve contacted your office. Thank you for taking great care of us and our insurance needs!” –Allison Moseley, East Bernard, TX

 

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