If you are in the process of setting up your overall financial plan, then it is important that you include life insurance coverage in the mix. This is because, with the proceeds from a life insurance policy, you can better ensure that your loved ones will not be left with financial hardship and that your promises can be kept.
For example, the proceeds from life insurance, received income tax-free by your beneficiary (or beneficiaries), can be used for a multitude of purposes. Difference purposes could include the payoff of massive debts (such as a mortgage), the payment of ongoing living expenses like utilities and food, and for making sure that a child or grandchild will still be able to pay for their future college education.
When you are purchasing a life insurance policy, there are several essential items that you should ideally keep in mind. These include obtaining the right type and amount of insurance coverage, as well as reviewing the insurance carrier to note whether they are financially secure and that the company is of sound repute for paying out its policy holder claims promptly. One insurance company that does so is Frankenmuth Insurance Company.
The History of Frankenmuth Life Insurance Company
Frankenmuth Insurance Company has been in the business of offering insurance protection to its clienteles since 1868. The company's principal mission when providing insurance services to its policy holders is to be the insurer of choice.
The company has grown over the years, due in part to mergers and acquisitions. These include a merger with Patriot Insurance Company in 2010. Frankenmuth has also expanded its overall product line over time, too. For example, it now includes Frankenmuth Surety – which offers a broad range of construction, commercial, and subdivision bonds at competitive terms. This arm of the insurer is licensed in 46 states.
This insurer runs on several core values, including commitment, caring, and teamwork – which can help policy holders to make sure that they have the proper coverage for their specific needs. It also means getting questions or concerns answered quickly and conveniently.
The company is headquartered in the historic city of Frankenmuth, Michigan, and it offers it insurance coverage products in 15 of the U.S. states. Policies are sold primarily via the company's roughly 500 independent insurance agents who also offer personal and commercial coverage options.
Frankenmuth Life Insurance Review
In addition to providing insurance coverage, Frankenmuth Insurance Company prides itself on its community involvement, as well as its commitment to quality. The company also believes that, while technology can be convenient, it is important to have a personal relationship between the insurance agent and insured. Therefore, Frankenmuth believes in having a local, independent insurance agent in the area who can build a relationship with customers and policy holders, as well as their loved ones.
The company does offer various online resources to its customers, though, as well as the ability to obtain an online quote for multiple lines of its insurance products. Also, customers/policy holders may log into their account on Frankenmuth Insurance Company's website to view their policy, make types of changes, make a premium payment, and to report a claim.
Because Frankenmuth Insurance is a mutual insurance company, this insurer does not have stockholders to contend to – but rather it is owned by its policy holders. This can be advantages to the company's customers, as in certain cases, they may be eligible for the receipt of dividends (although these are not guaranteed).
There are many different options in which an individual may receive and use a dividend payment. These include just only taking the payment in cash, or using the dividend to purchase additional insurance coverage., Because dividends are a return of premium, they are not considered to be taxable income and do not need to be reported on one's income tax return.
Throughout the years, Frankenmuth Insurance has earned numerous awards and accolades. Just some of these include the following:
- Ward's 50 Property Casualty Top Performer – 2017
- 4 Awards of Excellence, presented by the Insurance Marketing and Communications Association – 2017 and 2016
- Gold Award, presented by the Service Industry Advertising Awards – 2016
- Best in Business Award, offered by Saginaw Valley State University's College of Business and Management – 2015
- Toastmasters International Corporate Sponsorship Award – 2014
- Interface Leadership Award, presented by Applied Systems – 2013 and 2014
Insurer Ratings and Better Business Bureau Grade
Due in large part to its financial stability, as well as its timely payment of policy holder, claims, Frankenmuth Insurance Company has high ratings from the insurer rating agencies. This includes an A (Excellent) from A.M. Best Company.
Also, while Frankenmuth Insurance is not a Better Business Bureau accredited company, this insurer has been given a grade of A+ by the BBB, based on an overall grade scale of A+ to F. Over the past three years, Frankenmuth Insurance Company has closed out a total of just six customer complaints via the Better Business Bureau (of which four were closed out within the past 12 months). Of the six total customer complaints, four were related to problems with the company's products and/or services, and the other two had to do with billing and/or collection issues.
Life Insurance Coverage Offered Through Frankenmuth
Frankenmuth Insurance Company provides a selection of both term and permanent life insurance coverage options for individuals, families, and businesses. The proceeds from such policies can help to protect those who are important to the insured from financial stress. This is important – especially during an already difficult time in their lives.
Term Life Insurance Offered By Frankenmuth Insurance Company
With a term life insurance policy, an insured is covered by pure death benefit protection. Because term life does not provide any cash value or savings build up, it can help to keep the life insurance premium cost down – thus, allowing for coverage where, in some cases, it may not otherwise be affordable.
Term life insurance provides coverage for a set period, or time, such as ten years, 15 years, 20 years, or even for 30 years. Because of this, term life insurance is sometimes also referred to as temporary insurance.
In most cases, term life insurance will maintain a set amount of death benefit throughout the entire time of the policy. Likewise, they will also usually have a set amount of premium during the allocated time frame.
Such policies may be a good fit for those who are insuring “temporary” needs, like:
- The payoff of a home mortgage balance
- Ensuring that a loved one has enough money to pay for college in the future
All the term life insurance policies that are offered by Frankenmuth Insurance Company are renewable and convertible. This means that the insured may continue his or her coverage, even after the time has elapsed. If this will occur using term insurance, then the new premium going forward will likely be higher than the original premium amount, as it will be based on the insured's then-current age and health status.
However, an insured may opt instead to convert his or her term life insurance policy over to a permanent plan. That will allow them to lock in coverage for the remainder of their lifetime (if the premium is paid), and to also ensure that the premium will remain the same.
Also, by converting over into a permanent life insurance policy, the insured will have both death benefit protection, and cash value build up in their policy. The cash that is in the cash value can grow and compound over time on a tax deferred basis. This means that there are no taxes due on the gain of these funds unless or until they are withdrawn from the policy.
Cash value proceeds may be used for any number of reasons by the insured, such as the supplementing of retirement income, the payoff of debt, and even for taking a nice vacation.
Permanent Life Insurance Offered By Frankenmuth Insurance Company
Frankenmuth Insurance Company also provides permanent life insurance protection. These policies provide coverage, as well as cash value build up that grows tax deferred. The company provides whole life insurance coverage, which provides many key benefits, such as the following:
- Life insurance coverage for as long as the insured lives
- Guaranteed death benefit amount
- Level premiums throughout the life of the policy
- Guaranteed cash value
- Available loan option for emergencies, and/or for supplemental retirement income or any other purpose
- Additional riders to help with better “customizing” coverage
Frankenmuth Insurance Company also offers a variety of ways to pay the premium on their whole life insurance policies. These can include traditional lifetime payment options, to shorter periods of 10 or 20 years, after which the coverage will be paid up. There are also single premium options where just one single premium is required, and then no more additional premium is needed.
Other Products and Services Available
In addition to providing an excellent selection of life insurance coverage, Frankenmuth Insurance Company also offers other products and services, such as:
- Business Insurance
- Home Insurance
- Auto Insurance
On the personal insurance side, Frankenmuth Insurance Company provides auto, home, renters, umbrella, water craft, and RV (recreational vehicle) insurance coverage. On the business side, the company offers commercial package policies, business owner policies, commercial auto, commercial umbrella, employment practices liability, worker's compensation, equipment breakdown coverage, industry specialties, cyber and data coverage, professional liability insurance coverage, and safety services.
How to Get the Best Premium Rates on Life Insurance Coverage Through Frankenmuth
If you are currently looking for the best rates on life insurance coverage through Frankenmuth Insurance Company – or from any insurance carrier – it is important to work with an independent insurance agency or brokerage to provide you with all the information that is needed…including information from other competing companies. Why use a brokerage? Life insurance policies are not all priced exactly alike, even for the very same type and amount of coverage. So, it is essential first to look around and see what may be available to you. This, in turn, could end up saving you lots of premium cost – especially over an extended period.
When you are ready to move forward with searching for coverage and costs, we can help. We are an independent life insurance brokerage, and we partner with many of the top life insurance companies in the industry today. We can provide you with all the details that you will require for making an educated insurance purchasing decision. We can do so for you swiftly, simply, and expediently – all from your computer. If you have questions or concerns or wish to speak with someone, our experts are available. If you are ready to begin the process of finding the best coverage and premium for you, then all you must do is just simply click here to fill out our quote form.
Should you find that you still have any additional questions that need the help of an expert, please feel free to reach out to us directly via phone. We can be called, toll-free, by dialing 888-836-7071.
We understand that the purchase of life insurance can be a bit overwhelming. There are so many different variables to consider – and you want to be sure that you are moving in the proper direction with the plan that will suit your needs the best. This can be so much easier when you are working in conjunction with an ally on your side. So, contact us today – we're here to help.