Life Insurance in Pennsylvania
There are two primary types of life Insurance: term life insurance and permanent life insurance. No matter which type you choose when you buy life insurance, your policy can help provide your beneficiaries with the money they need to cover your final expenses and to help make up for the lack of your income.
The State Department of Insurance oversees the sale of life insurance in Pennsylvania, ensures that providers are properly licensed and guarantees certain protections for Pennsylvania life insurance consumers.
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.
Pennsylvania was ranked 28th out of 50 states and the District of Columbia in life expectancy in 2014, with a life expectancy of 78.76. With this in mind, people living in Pennsylvania may want to consider their life insurance options.
Pennsylvania life insurance specifics
The insurance industry in Pennsylvania is regulated by The State Insurance Code of Pennsylvania. The state uses this code to regulate claims and provide certain provisions to protect Pennsylvania life insurance consumers, such as:
- Free Look Period
According to the Pennsylvania state code, life insurance companies are required to give you a Free Look Period to review your policy and decide if you want to keep it. If you decide during this period (within 10 days of the issuance of the policy) that you don’t want to keep it, you can cancel the policy for a full refund. - Grace Period
A grace period is allowed on all late payments under the Pennsylvania state insurance code. If you miss a premium payment for any reason, all Pennsylvania life insurance providers must give you at least 31 days to bring the account current before the insurer can cancel the policy for non-payment.
Pennsylvania life insurance state resources
Pennsylvania Department of Insurance
The purpose of the Department of Insurance is to faithfully execute the state insurance laws in a manner that protects insurance consumers and the Pennsylvania life insurance industry.
http://www.insurance.pa.gov/
Pennsylvania Life & Health Insurance Protection Association
The state guaranty association is there to provide protection and continuing life insurance coverage in Pennsylvania, even in the event that a life insurance company becomes insolvent.
http://www.palifega.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
