Life Insurance 101
Why
life insurance is important?
Life insurance can bring peace of mind and ensure that your
loved ones will be provided for financially after your passing. This could be a
spouse, children, disabled relatives, elderly parents, or anybody else who depends
on your income to survive.
Why life insurance is important? Having life insurance protects your spouse and children from the
potentially devastating financial losses that could result if something
happened to you. It provides financial security, helps to pay off debts, helps
to pay living expenses, and helps to pay any medical or final expenses.
Many experts recommend having life insurance that's equal to seven to 10
times your annual income. If you have a policy (or policies) of that size, the
people who depend on your income shouldn't have to worry about their living expenses
or other major costs. For example, your insurance policy could cover the cost
of your children's college education, and they won’t need to take out student
loans.
There are several different types of life insurance. But what they all have in common is that they pay
cash to your loved ones in the event you pass away. This lets your nearest and
dearest remain on firm financial ground even though your earnings have stopped.
Life
insurance isn’t just for the wealthy. No matter your income level, life
insurance can ensure that your loved ones could make ends meet if you were to
pass away. And, life insurance might be more
affordable than you think
