Frequently asked questions
Straight answers to the questions people ask Matt most often. Don't see yours? Call, text or request a call.
Working with Matt
Is there a cost to talk with you?
No. A review of your options costs nothing and you are never obligated to enroll.
What kind of insurance broker are you?
An independent insurance broker specializing in life insurance, health insurance, Medicare and annuities. He is not the insurance company and is not connected with or endorsed by the U.S. government or the federal Medicare program.
Do you help people near Mooresville?
Yes. Matt MacMillan is based in Mooresville and works with people in Iredell County, the Lake Norman area, Statesville and the Charlotte area, plus the rest of North Carolina.
Life insurance
What happens when my term life policy ends?
Coverage stops at the end of the term. Depending on the policy, you may be able to renew year by year at higher premiums, convert to permanent coverage or apply for a new policy.
Can I convert term life to whole life later?
Many term policies let you convert to a permanent policy without a new exam if you do it within the time limit in the contract. Rules vary by insurer, so check before you buy.
Isn't the life insurance through my job enough?
Group coverage is a good benefit, but it is often limited to a multiple of salary and may end if you leave the job. Many people add an individual term policy they own and control.
Is whole life insurance worth it?
It depends on your goals. If you need coverage for a specific period, term usually costs less. If you want coverage for life, a savings element or a way to leave an inheritance, whole life can fit. Matt can show you both side by side.
Can I borrow from my whole life policy?
Usually, once the policy has built cash value. Policy loans accrue interest, and any unpaid balance is subtracted from the death benefit.
Does the benefit go to my mortgage company?
Not with a mortgage protection life policy you own. The benefit is paid to the beneficiaries you name, and they decide how to use it. Credit life insurance sold through a lender is different and pays the lender.
Is mortgage protection the same as term life insurance?
It is usually term life insurance sized and timed to a mortgage. The main differences are how the coverage amount and length are chosen and which riders are included.
Final expense
Do I need a medical exam for final expense insurance?
Usually not. Most plans use health questions instead of an exam. If your health makes it hard to qualify, guaranteed issue plans ask no health questions, but they have a waiting period before the full benefit is paid for natural-cause deaths.
How much final expense coverage do I need?
Start with the arrangements you would want and any bills you don't want to leave behind. Under the FTC Funeral Rule, funeral homes must give you itemized price information when you ask in person, which helps you estimate. Matt can help you choose an amount that fits your budget.
Will my premium go up as I get older?
Most final expense policies have level premiums set when the policy is issued, and the death benefit doesn't shrink with age. Always confirm this in the specific policy you are considering.
Is the death benefit taxable?
Life insurance death benefits paid to a named beneficiary are generally not subject to federal income tax. Check with a tax professional about your own situation.
Can I buy a final expense policy for my parent?
Generally yes, as long as your parent knows about it, agrees and signs the application, and you have an insurable interest, which close family members usually do. Matt is licensed in 17 states plus DC, so he may be able to help even if your parent lives elsewhere.
Medicare
When can I sign up for Medicare?
Your Initial Enrollment Period is a seven-month window that includes the three months before your 65th birthday month, your birthday month and the three months after. Most people can also review or change plans during the Annual Enrollment Period, October 15 to December 7.
Is there a cost to review my Medicare options with you?
No. A review of your options costs nothing and you are never obligated to enroll.
Can I keep my doctor with a Medicare Advantage plan?
It depends on the plan's network. Matt checks your doctors and hospitals against each plan before you decide.
When can I change my Medicare Advantage plan?
Most people can make changes during the Annual Enrollment Period, October 15 to December 7. If you're already in a Medicare Advantage plan, you can also make one change from January 1 to March 31. Special Enrollment Periods may apply after certain life events.
Do Medicare Advantage plans include drug coverage?
Most do. Some plans don't include Part D, so it's important to check how each plan covers your prescriptions.
Do I still pay my Part B premium?
Generally, yes. You usually continue paying your Part B premium when you join a Medicare Advantage plan, plus any plan premium.
Are you the insurance company or the government?
Neither. Matt is an independent, licensed broker. The MacMillan Agency is not connected with or endorsed by the U.S. government or the federal Medicare program.
We do not offer every plan available in your area. Currently we represent 8 organizations which offer 1,210 products in your area. Please contact Medicare.gov, 1-800-MEDICARE, or your local State Health Insurance Program (SHIP) to get information on all of your options. The MacMillan Agency is not connected with or endorsed by the U.S. government or the federal Medicare program. Plan availability, benefits and costs vary by county and plan.
By calling or texting, you will be connected to a licensed insurance agent. Calls may be recorded.
If we discuss Medicare Advantage plans, we will first confirm the products you want to discuss (Scope of Appointment).
Annuities
How do fixed and fixed indexed annuities handle market drops?
With fixed and fixed indexed annuities, your money is not invested directly in the stock market, and the contract spells out the values the insurer guarantees. Those guarantees depend on the insurer's claims-paying ability, and surrender charges, rider fees and taxes can reduce what you receive if you withdraw early.
What are surrender charges?
A surrender charge is a fee for withdrawing more than the contract allows during the surrender period, which typically lasts several years. Many annuities allow a limited amount each year without a charge. Matt will show you the surrender schedule of any annuity you're considering.
How are annuities taxed?
Earnings grow tax-deferred. When you take money out, the earnings portion is taxed as ordinary income, and withdrawals before age 59½ may face an additional 10% federal tax penalty. Check with a tax professional about your situation.
Can an annuity pay me income for life?
Yes. Income annuities can be set up to pay for as long as you live, and some deferred annuities offer optional lifetime income riders, usually for an added fee.
What happens to my annuity when I die?
It depends on the contract. Many deferred annuities pay the remaining value to your beneficiaries. With income annuities, it depends on the payout option. Life-only payments stop at death, while period-certain or refund options can continue to a beneficiary.
Supplemental health
Does hospital indemnity pay the hospital or me?
Typically you. The benefit is paid directly to you, and you decide how to use it.
Is hospital indemnity the same as health insurance?
No. It is a supplemental, limited-benefit policy that works alongside major medical coverage or Medicare. It is not a replacement for them.
What conditions does critical illness insurance cover?
It depends on the plan. Many include certain cancers, heart attack and stroke, and some add other conditions. Always read the policy's definitions.
How is the benefit paid, and how can I use it?
Usually as a lump sum paid to you. You can use it however you need, from medical bills to everyday expenses.
Does Medicare cover dental and vision?
Original Medicare generally does not cover routine dental care, eye exams or glasses. Some Medicare Advantage plans include limited dental or vision benefits, which vary by plan, so it's worth checking what you already have before adding a plan.
Is there a waiting period for crowns or dentures?
Often, yes. Many plans cover preventive care soon after you enroll but have waiting periods for major services. Some plans offer shorter or no waiting periods, usually with different costs or benefits.
Still have a question?
Ask Matt MacMillan, an independent broker in Mooresville. There's no cost to talk and no obligation.