Death is not an easy topic to think about, but preparing for the inevitable is a necessary burden you must undertake for the benefit of your loved ones. Making end-of-life plans can seem overwhelming, but fortunately there are strategies to ease your burden and provide peace of mind for yourself and your family. Life insurance is one crucial way to ensure the financial security of your loved ones. Consider these reasons if you are undecided on taking out a life insurance policy.
Getting Life Insurance Is Easy
The application process is straightforward, requiring a detailed health history and possible health examination. An insurance agent will underwrite your application to determine your insurance risk and adjust approval and premium costs accordingly. Your premiums are later paid out to your beneficiaries after you die. These monthly premiums are typically at an affordable cost, making life insurance accessible to most people across the socio-economic spectrum.
Different Policies Exist
Two major types of life insurance policies exist: term and permanent. Term life insurance is a temporary policy designed to cover a certain amount of time up to thirty years. Premiums for these policies remain consistent throughout the duration of the coverage, and the insurance company will pay out a tax-free benefit at the time of the holder’s death. Permanent life insurance lasts for the duration of your life. This policy has accessible cash-value that can still be paid out to your beneficiaries.
Policy Coverage Is Broad
Life insurance benefits can be utilized in a wide variety of ways, even if you are alive. Living benefits from a life insurance policy can be cashed out in times of great need such as terminal medical expenses. All policies also cover prohibitively expensive out-of-pocket funeral costs that place a massive burden on those already struggling with grief. Beneficiaries can also put death benefits toward mortgage payments, education costs, car loans, utilities, retirement, and much more.
Selecting a life insurance policy is not only a sound financial investment, it is a valuable safety net for yourself and your family. Thankfully, these flexible and affordable plans are easily attainable and offer a wide host of benefits regardless of your age and personal circumstances. Easing the financial burdens of your loved ones is one of the best gifts you can give at a difficult time. The peace of mind you will bring yourself and your family, however, is priceless.
