For me, it was my Father at the age of 56.
After the shock, the reality sets in of trying to resume a lifestyle without a loved one. Without the income that loved one had provided it can be financial disaster for the family. Taking time to discuss your concerns with an agent can help determine what type of life insurance program will work for you to prevent such a disaster. Don’t let excuses get in the way of making a decision that burdens your loved ones if you’re no longer here for them.
Life Insurance Basics…
There are two basic types of life insurance: temporary and permanent.
- Temporary needs include home mortgages or short-term debt reduction, family income and educational expenses and can last as little as one year or last 20 to 30 years or longer. Term insurance is the most cost effective method of insuring many short-term needs. There are a variety of plans to choose from, ranging from an annual renewable term (1 year plan) to a level term plan that could last 5, 10, 15, 20 or 30 years. Term insurance is a great way to get started with life insurance on any budget.
- Permanent needs include those that last for your entire life or potentially for periods of 15 years or more. Permanent insurance needs include final expenses, funds to cover estate taxes and retirement savings protection. Permanent and universal life plans are ideally suited for meeting these goals. Permanent plans are a long term commitment.
The primary purpose of life insurance is to provide cash for your family in the event of your death to ensure that they can remain in their home and continue to maintain an adequate standard of living. There are a number of factors that determine the cost you pay for life insurance including:
* Age
* Health
* Tobacco Use
* Occupation
* Hobbies
Recent Survey Results Confirm . . . Death rate is still at 100% . . . despite what you may have heard about Elvis, etc . . . Our time here is limited to an average of less than 100 years. Knowing that your time here may be interrupted prematurely by death, life insurance is the only thing that can provide the “peace of mind” for your family for virtually “pennies on the dollar.”