3 minute read
Life insurance is a big decision. It requires careful thought and consideration, and it's not something that should be taken lightly. Although you might feel like your family will be able to get by without life insurance, there are many reasons why you should purchase it: because you never know what the future could hold.
Life Insurance can seem like an intimidating topic at first glance, but when all of its benefits are broken down for you in detail it becomes much more clear as to whether or not this product would benefit your family in the long run!
That said though, here are three very important questions to ask yourself before deciding on whether or not to buy life insurance.
Parent
If you are a parent, you need life insurance. Typically parents will have children that rely on their income to survive.
If you have children, your life insurance benefit will help make sure your children wouldn’t be forced to change their lifestyle or miss out on opportunities that they would have had otherwise.
Spouse
If you are married or have a spouse that relies on your income in any way, you need life insurance.
This is especially important if you have a mortgage, car loans, or other financial obligations together!
Student
The main reason students need a life insurance policy is to pay for their student loans. If you are a student or still have student loans, you need life insurance.
Some student loans (specifically federal loans) will be forgiven if the borrower dies, but that is not the case with all loans.
So it is important to look into your loan obligations to be sure you won’t leave that burden on anyone else!
Credit Card Owner
Similar to having student loans, if you have credit card debt, you need a life insurance policy!
If you have any credit card debt or use a credit card frequently, a life insurance policy will help cover those payments so you don’t leave that debt to anyone else.
Student (Current or Past)
The main reason students need a life insurance policy is to pay for their student loans. If you are a student or still have student loans, you need life insurance.
Some student loans (specifically federal loans) will be forgiven if the borrower dies, but that is not the case with all loans.
Business Owner
If you own your own business or are a partner in a business, you need a life insurance policy.
A good question to ask yourself as a business owner is how much money will your business need if you are no longer there?
Your life insurance policy will be able to cover any cash flow shortage for the business.
Home Owner
If you own a home or more specifically pay a mortgage, you need a life insurance policy.
One of the biggest financial assets a person can have is a home. It is important to consider how much you owe on your home and that you have the means to fund that if you were no longer able to pay.
The last thing you would want to do is leave those payments to someone else.
Life insurance policies can be expensive and confusing. There's a lot of information out there, but we're here to help you make sense of it all! If you identified with any of the categories listed above, you need life insurance.