Life Insurance FAQs

Our Policyholder Service Department is staffed with qualified and friendly personnel.

This staff is available to you and your clients via telephone, fax, or mail. Our website twalife.com, is also a valuable tool for you and our policyholders, and many of the following services are offered here.

We believe that service and our relationship with our clients are of the utmost importance.

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Policy FAQs

How do I make changes to my policy?

The Policy Owner must complete the appropriate form for the requested change. After logging in, forms may be downloaded and printed from the Forms Link. The Policy Owner may also contact a Service Representative at the Home Office; contact information is listed in the Contact Us section.

How do I get a copy of my policy?

You may request a copy of your policy by contacting our office by telephone, in writing, or from our “Contact Us” page. For policies issued beyond our document retention period, a Policy Verification Certificate will be provided.

How do I request a loan against my policy?

The Policy Owner can request a loan by calling a Service Representative. You should consult your Policy for specific information regarding Policy loans.

How do I change my mode of payment?

You may contact a Service Representative at the Home Office for details.

How do I obtain information on my policy?

You may contact a Service Representative at the Home Office or register online. By registering online, you will be able to view premium payments, make withdrawals, and much more. Register now at https://online.twalife.com/.

How do I file a Death Claim?

Upon the death of the Insured, you may contact the Home Office Claims Department to report the death. Be prepared to advise us of the Insured’s name, the date and cause of death, and the name, address, and telephone number of the person who should be contacted. A Claimant’s Statement and additional information on how to file a death claim will then be sent to the named Beneficiary(ies). You may click the “Claims” link at the top of this page to download the Claimant’s Form and instructions.

What should I do if I can't pay my premiums?

You should notify the Home Office right away and contact a Customer Service Representative or your agent.

How do I cancel my Policy?

The Owner must submit a written request of cancellation to the Company referencing the Policy number, signature, social security number, and address. Please review the Right to Examine section of your policy.

How do I reinstate my Policy?

In order to consider the reinstatement of a lapsed policy, the owner and/or insured must submit a completed Reinstatement Application along with past-due premiums. Please contact our office to receive the required Reinstatement Application. Please refer to your policy for details and qualifications. The company may require further underwriting and request current medical records be submitted.

How much life insurance do I need?

If you have a family or plan on having a family, buy enough life insurance so that, when combined with other sources of income, it will replace the income you now generate for them, plus enough to offset any additional expenses they will incur to replace services you provide (for a simple example, if you do your own taxes, the survivors might have to hire a professional tax preparer). Also, your family might need extra money to make some changes after you die. For example, they may want to relocate, or your spouse may need to go back to school to be in a better position to help support the family.

You should also plan to replace “hidden income” that would be lost at death. Hidden income is income that you receive through your employment but isn’t part of your gross wages. It includes things like your employer’s subsidy of your health insurance premium, the matching contribution to your 401(k) plan, and many other “perks,” large and small. This is an often-overlooked insurance need: the cost of replacing just your health insurance and retirement contributions could be the equivalent of $2,000 per month or more.

If you want to create an inheritance or make a charitable contribution, buy enough life insurance to achieve those goals.

Of course, you should also plan for expenses that arise at death. These include the funeral costs, taxes, and administrative costs associated with “winding up” an estate and passing property to heirs. At a minimum, plan for $15,000.

How should I choose what type of life insurance to buy?

You should consider Term Life Insurance if:

  • You need life insurance for a specific period of time. Term life insurance enables you to match the length of the term policy to the length of the need. For example, if you have young children and want to ensure that there will be funds to pay for their college education, you might buy 20-year term life insurance. Or, if you want the insurance to repay a debt that will be paid off in a specified time period, buy a term policy for that period.
  • You need a large amount of life insurance but have a limited budget. In general, this type of insurance pays only if you die during the term of the policy, so the rate per thousand of death benefits is lower than for permanent forms of life insurance. If you are still alive at the end of the term, coverage stops unless the policy is renewed. Unlike permanent insurance, you will not build equity in the form of cash savings.

Keep in mind that premiums are lowest when you are young and increase upon renewal as you age. Some term insurance policies can be renewed when the policy ends, but the premium will generally increase. Some policies require a medical examination at renewal to qualify for the lowest rates.

You should consider Permanent Life Insurance if:

  • You need life insurance for as long as you live. A permanent policy pays a death benefit whether you die tomorrow or live to be 100.
  • You want to accumulate a savings element that will grow on a tax-deferred basis and could be a source of borrowed funds for a variety of purposes. The savings element can be used to pay premiums to keep the life insurance in force if you can’t pay them otherwise, or it can be used for any other purpose you choose. You can borrow these funds even if your credit is shaky. The death benefit is collateral for the loan, and if you die before it’s repaid, the insurance company collects what is due to the company before determining what goes to your beneficiary.

Keep in mind that premiums for permanent policies are generally higher than for term insurance. However, the premium in a permanent policy remains the same no matter how old you are, while term policy premiums can go up substantially every time you renew it.

There are a number of different types of permanent insurance policies, such as whole (ordinary) life, universal life, variable life, and variable/universal life.

Is this just life insurance?

All of TWA’s life insurance policies allow for tax-deferred cash value growth. Both TWA’s Future First Universal Life Insurance Policy and the Flexible Dollar Builder Whole Life Insurance Policy provide life insurance coverage if you die, but they also provide cash value assets you can use while you’re alive.

What does tax-deferred mean?

Tax-deferred means that you are not required to pay taxes on the interest you earn within the policy until you withdraw the interest. This allows for your cash values to grow at a faster rate, which means more money for you! If you have more questions about the tax implications of life insurance policies, we encourage you to get in touch with one of our agents.

Does the interest rate on my policy change?

While the guaranteed rate on a policy will never change, the current rate may. Interest rates and the economy have proven to fluctuate with time. This means your crediting interest rate most likely will change from time to time. Please contact the Home Office for the current interest rate for your policy.

How is this policy different than term insurance?

Term insurance is a set amount of coverage for a set amount of time. In most cases term coverage is cost effective and usually will have a level premium. Once the term of your policy is up, you will be required to re-apply for coverage. Given that the older you are, the more coverage costs, don’t be surprised to see your term rates increase substantially. Also, if you have incurred any medical conditions you may not even qualify for coverage. We believe term coverage is an inexpensive tool you can use to fill your insurance needs. The best way to protect against the pitfalls of term insurance is to buy permanent insurance. TWA’s policies provide lifetime level premiums regardless of age and medical changes. TWA’s policies also provide tax-deferred cash value growth.

Why do I need more life insurance?

The answer is you may or may not. There are many things to consider when purchasing life insurance, including family, age, health status, and more. It is important to be properly insured, and the only way to figure that out is to sit down with a life insurance professional to determine your needs. A common tool to determine if you need more life insurance is to do a life insurance needs analysis worksheet.

How many policies can I own?

That depends on you and your family’s unique situation. You may own a policy for yourself, your spouse, and your dependents.

What if I change banks?

If you change banks it’s important to let us know immediately. We will need you to submit a new Bank Draft form so your policy doesn’t lapse.

I no longer work for the company or municipality from which I bought my policy-- What should I do?

The good news for you is that your policy is portable. If you are paying for your policy by Bank Draft, you don’t need to make any modifications. If your employer was withdrawing money from your check to pay your policy, you will need to submit a Bank Draft form. If you have any questions, please contact one of our customer service representatives.

What is the difference between my SGLI and this insurance?

Your SGLI insurance is sponsored by the US government through the VA and is only available for active service members. Your SGLI coverage will expire shortly after your service ends. Insurance through TWA is private, commercial insurance. It is available to both active and former service members. Furthermore, TWA’s offerings include permanent life insurance policies, which will never expire as long as premiums are paid.

Can I keep my policy when I get out of the military?

Yes! All of our policies are portable. Once you are out of the service, you may have to make different payment arrangements. This is as simple as contacting your local agent or talking to a TWA customer service representative to find out which payment option is best for you.

Does this take the place of my SGLI?

Not necessarily. Some service members choose to initiate what’s known as a “conversion” of their SGLI policies when they leave the service. In this case, yes, a TWA life insurance policy can take the place of your SGLI. However, if you are still actively serving, we recommend you keep your SGLI coverage, as it is a highly beneficial form of inexpensive term life insurance. In this case, you still can purchase a policy through TWA in addition to retaining your SGLI. This will allow you to take advantage of the inexpensive temporary coverage of SGLI alongside the future-focused benefits of a commercial permanent life insurance policy.

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