Whether you are a new parent or a senior citizen enjoying your golden years, you’ve probably thought about the benefits of life insurance.
Life insurance is a resource for your loved ones and will financially protect them in the event of your death. With a life insurance policy, your family might be able to pay your outstanding debts, take care of your mortgage, pay for your funeral expenses, and more. Life insurance can provide your family with the security they need during a stressful time.
Your life insurance requirements will depend on your situation. If you’re still relatively young and are paying your child’s college tuition, you might not have a lot of money to devote to life insurance. In that case, term life insurance may be more suitable. If you want a policy that gains value over time, you’re probably looking for a permanent life insurance plan.
This section is divided into multiple articles covering such topics as permanent life insurance, term life insurance, and jobs and life insurance plans. Read on to get important information on life insurance.
Permanent Life Insurance
If you want a life insurance policy that gains value over time, you probably want a permanent life insurance plan. Permanent life insurance is an investment. Unlike term life insurance, it gains value over the life of the policy.
The cash value of a permanent life insurance policy increases as you make your premium payments. You can borrow against that cash value or cancel the policy at any time and receive the cash value in return.
Keep reading to learn more about permanent life insurance.
Term Life Insurance
Term life insurance is a life insurance policy that lasts for only a fixed time period. If you die within that period, your beneficiaries receive a death benefit. If you do not, the insurance simply ends and neither your nor your beneficiaries receive any money.
Term life insurance is much less expensive than permanent life insurance and offers protection for your dependents. For instance, if you have young children, you can buy a policy that will last until they have graduated from college, offering them security while they are vulnerable and financially unstable.
Read on for important information on term life insurance.
Jobs & Life Insurance
If you are thinking of taking a new job, you’ll need to find out how your career move could affect your life insurance policy.
Many companies offer some form of life insurance in their benefit packages. However, when you change your job you may have to replace your life insurance policy with one that offers less coverage. Many companies offer their employees the opportunity to buy supplemental coverage, so you’ll need to research your needs prior to selecting a plan.
Keep reading to learn how your life insurance could be impacted by a job change.
Parents & Children
Many parents buy life insurance policies in order to financially protect their children. However, some parents also take out life insurance policies on their children. While no parent can imagine the death of a child, life insurance policies are available for children. And, while these policies can cover funeral expenses, they can also be an investment in the child’s future.