- What is the need for life insurance?
Life insurance companies help protect your future and prepare you for uncertainty. It keeps your family secure in case of your death and supports you in difficult times until the family is financially dependable.
- Benefits of Life insurance
Life insurance helps the family’s future expenses of children such as education, mortgage payoff, replacement of income and more. Life insurance planning helps the family to continue the lifestyle they are accustomed to, even after you die. Life insurance can provide tax-free funds and overall a positive impact as a supplemental retirement to your income.
- Sizes of Life Insurance
There are different sizes of life insurance. You should always start with some amount which you can afford according to your budget and plan what you need in future. There is a wide range of life insurance plans.
- The Role of Life Insurance Agents
Licensed Life insurance agents provide advice to clients and recommend insurance products as well as provide intermediary services between insurance companies and clients.
A good agent will also provide good customer service and interview you to gather data about to determine your individual needs. They will analyze your current portfolios and make recommendations. They will also assist clients during the claims process.
- What is Life insurance?
The primary job of life insurance is to provide a death benefit in exchange for payment. You make payments, called “premiums” to a life insurance company. When you pass away, the insurance company agrees to pay a designated amount to whomever you designate, known as your “beneficiary.” But that isn’t all…Some life insurance provides you with living benefits meaning you don’t have to pass away to use it.
Life insurance provides for your loved ones and helps them maintain the same standard of living should something happen to you. It helps pay off mortgage loans or other debts, pay for final expenses, or provide legacy donations to what’s important to you. You can also take advantage of life insurance as a tool to accomplish financial goals.
- Who needs to buy the Life insurance plan?
Simply put, you need life insurance if someone else is depending on your income. Usually this means your children, but it could also be used to pay off debt for your spouse or parents. Insurance is important.
You probably need it to protect your car. If you own a home, you’ll need insurance to cover damage to the structure and the belongings. But do you need life insurance?
It depends. The truth is, not everyone needs to have a life insurance policy in place. But not having it can be a costly mistake if you’re one of the people who do need it. In most cases, you need life insurance when you start a family. Because life insurance isn’t for you – it’s to provide for your family in case you die and can no longer take care of them.
In addition, there may be special situations in which you don’t have a family of your own but may still want some life insurance protection. For example, if a parent has cosigned a large student loan or a mortgage for you, a modest life insurance policy could pay their share in the event something happens to you.
Most people begin to think about life insurance when they have children. That’s what my wife and I did. Shortly after our daughter was born, we both took out term life policies in amounts that would replace each of our individual income for 20 years and cover the expected cost of our daughter’s college tuition. When our second children was born, we increased our policy to take our 2nd child’s expenses into account.
If you’re wise, you might start planning for your life insurance needs before your first child is born. For example, if you’re married, you and your spouse may want to take out life insurance for each other, even if you both work. Many couples rely on two incomes to pay monthly expenses, and if one spouse dies, the other would have to cover those same expenses on their own.