What is Life Insurance
Life insurance is a promise to your loved ones that they will be taken care of in the event of your death.
In simple terms, life insurance is a contract between you and an insurance company. You agree to pay a certain amount (called the premium) each month, quarter, semi-annual or annually for the promise if you die your designated beneficiary (the loved one(s) of your choosing) will receive a sum of money (the “death benefit”).
Do You Need Life Insurance
If you have anyone that depends on you financially or if you do not have enough for burial expenses if you pass away, you need life insurance.
Basically, if you are a parent that wants to be certain your children are provided for and their college expenses will be covered. If you want the peace of mind in knowing your spouse will be supported financially if something happens to you. If you do not want to burden your loved ones with end-of-life expenses such as burial costs or estate taxes. If you have debts that you do not want to pass on. If you have a family business that you want to protect. You need life insurance.
Are there different types of Life Insurance?
Yes! This is the most important part of understanding life insurance. Understanding how different policies work is very important in developing a game plan to protect your loved one’s future.
To learn more about the different types of life insurance, please click here.