Life Insurance in Maryland
You likely don’t want to think about your own death. It’s important, however, to consider how the people who depend on you will continue to survive financially after you’re gone.
As a Maryland resident, purchasing life insurance is one way you can help ensure that your loved ones will always be protected, even if you are not there to take care of them.
Why do I need life insurance?
With life insurance coverage, you can feel secure knowing that your beneficiaries will have some help covering your final expenses and other financial needs they’ll face without you.
Maryland was ranked 25th out of 50 states and the District of Columbia in life expectancy in 2014, with a life expectancy of 79.16 years. With this in mind, people living in Maryland may want to consider their life insurance options.
Maryland life insurance specifics
Maryland regulates its insurance industry through The State Insurance Code of Maryland. Under the code, those purchasing life insurance in Maryland are afforded certain protections, such as:
- Free Look
According to the state code, a free look provision must be included in every individual Maryland life insurance policy. This period allows you to change your mind even after you have signed the contract with the insurance company and received all policy documents. If you return the policy within 10 days of the policy issue date, you won’t face any financial penalty. - Grace Period
The insurance code also requires that Maryland life insurance companies allow a grace period on late payments. If you miss a premium payment for any reason, you must be given one month or 30 days to bring the account current before the insurer can cancel the policy for non-payment.
Maryland life insurance state resources
Maryland Insurance Administration
The purpose of the Department of Insurance is to faithfully execute the state insurance laws in a manner that protects insurance consumers and the Maryland Life Insurance industry.
www.mdinsurance.state.md.us/Pages/default.aspx
Maryland Life & Health Insurance Protection Association
The state guaranty association is there to provide protection and continuing life insurance coverage in Maryland, even in the event that a life insurance company becomes insolvent.
www.mdlifega.org/
Life Insurance Company Ratings From A.M. Best, Standard and Poors and Moody’s
A.M. Best and Standard and Poors provide ratings for life insurance companies based on financial strength and past performance.
www.ambest.com
www.standardandpoors.com/en_US/web/guest/home
www.moodys.com
