In a nutshell, life insurance protects your ability to earn. You know, your paycheck. If you have a family or business, chances are you need to consider purchasing a policy. You will be surprised at how inexpensive a term life insurance policy will be. Let’s face it, we are all going to die. But have you ever thought about what would happen to your spouse and kids if you were to die prematurely? I get asked a lot – Do I need Life Insurance?
Most of us have plans that include saving for emergencies, housing and living expenses, college for the children and retirement. At first, many of our clients don’t think about life insurance as part of this plan. But what happens if we become part of that statistic? You know, you don’t make it home one night. You die too early. Well those plans may not become a reality for your family that you leave behind. Or maybe your business fails because you are not there to run the day to day operations.
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Do I Need Life Insurance?
Still not sure that you need life insurance? Here are some of the things you should think about:
Are you a sole bread-winner or does your spouse work? If you are a sole bread-winner for your family then life insurance should be a top priority. If you and your spouse both bring in the income then both of you should look into purchasing a policy.
Your age and the age of your family members that depend on your income. If you have young children, you need to understand that the average cost of raising a child to age 18 is about $245,000. Do you want life insurance to cover educational cost too?
Your housing situation. Do you have a mortgage? Are you renting? Either way, you family will need to be able to have a place to live. Life insurance can be used to completely pay off the mortgage or provide a rental fund.
How long will it take your family to adjust to their new normal? Sometimes, loved ones don’t just snap back into reality. There may be a transitional period that you need to consider.
Will they be able to live off of the income that they now have? So even if your spouse works, they may not make enough to maintain the same standard of living they are used to. Studies recommend that the amount of life insurance you should is at least 10 times your annual income.
What about a retirement fund? How well are you doing when it comes to retirement savings? Will your surviving spouse be able to contribute to a retirement fund along with keeping up with all of the other expenses they are faced with? Life insurance can be a great way of providing a retirement fund for your surviving spouse.
Most of us think that this will not happen to us, but I can say from firsthand experience that it happens every day. Unfortunately many of our friends, family and co-workers are walking around without life insurance or not enough life insurance. Many only have life insurance through their employment.
Even if you are not ready to do any long term planning, a 10 year term policy can be a very inexpensive way to get the life insurance protection that you need. You can grab a quick quote with our calculator on the left of this page. Just keep in mind that 10 year goes by very quickly. I encourage you to get a quote from the box on the left side of this article to see for yourself.
I hope that this has been helpful in your decision to purchase a life insurance policy and protect your loved ones financial future. It is just so easy for us to think that this isn’t something that will happen to us. After all, I am healthy and my parents are still alive. I have a healthy family history. Well, I have too many stories of those that weren’t ready to buy a policy for one reason or another. Or maybe they thought they couldn’t afford it right then. Don’t let that mistake be yours.
We are able to help our clients purchase those policies for a lot less than they conceive that the cost will be. There are so many companies that offer life insurance today that it can be very confusing who to purchase from. As an independent agency, we can offer almost every company’s policy. This means you can get the very best rate available because we shop around for you.
One of the main ways to cut costs from your monthly premium is to live a healthy life. This entails many things but life insurance companies do have height/weight tables and also use information from your medical exam to determine what class you’ll be put into. Eating healthier, and exercising a few times a week can go a long way in saving you hundreds a year on your monthly premiums.
We’ll also play mom for a moment and tell you that tobacco is a nasty habit and will most likely double your premiums. Now we won’t judge you for smoking or chewing tobacco, but the life insurance companies will. So truly take the time and consider how much money you’d be saving every week by not buying tobacco but also the amount you would saving on the insurance premiums too.
These are only a few ways that you can save money on your coverage. No one will force you to save that money, but today is a good time to think about if you’re willing to make the commitment to keeping money in your wallet.
We have been providing life insurance to our clients for over 20 years now, so we know what company will offer the best rate for your situation. Don’t just let one company tell you how much their policy is, get a comparison of all companies. It is very easy to find out how much it will cost you to insure your life. Just use the quote box to the left to get an idea. You can also call us at 1-800-712-8519 if you have any questions about life insurance.
Frequently Asked Questions
What are some reasons to purchase life insurance?
– If your family depends on your income for day-to-day expense.
– If you have a mortgage that would need to be paid off for your family upon your death.
– If you have children planning to go to college.
How much life insurance will I need?
You will need to look at your debts, mortgage, child-care and educational expense, family income, and final expenses to determine how much life insurance you will need.
How much is a $1,000,000 term policy for a 30 year old male?
A sample premium for a 20-year term policy with a non-tobacco standard health rating would be $69.96 per month.