Time has a way of sneaking up on all of us. As time passes and you approach retirement, you should begin to think about what would happen to your loved ones if something were to happen to you. How would they afford their expenses without your income? What is the best way to protect your assets and pass them on to your loved ones? How will your debts be paid off? It’s not fun to think about, but it is something you should plan ahead for.
One way to protect your estate and minimize the impact of debt on your beneficiaries is to purchase life insurance. You can purchase a term life policy that will payout directly to your beneficiary. A Term life insurance plan is the simplest of all life insurance policies that provides death benefits if the insured passes away during the term of the plan. In most states, the proceeds from a term life policy are fully exempt from debt and creditors. If your liabilities exceed the value of your assets, term life insurance may be the only protected assets that your loved ones receive.
Life insurance is one of those things that everyone should have, but few people actually do have. It’s easy to put off purchasing a policy, but the longer you wait, the greater the chances of something unexpected happening before you get coverage. Has buying life insurance been on your to-do list for a while but you haven’t gotten around to it yet? Maybe today is the day you should look into protecting your family.
Here are the top 5 benefits of a term life policy.
1. Financial Security
You have to plan for what would happen to your loved ones if something were to happen to you. Would they have enough to get by without your income? Life insurance is designed to provide financial security to your loved ones after you pass away. This is especially true if you have any debt and almost everyone has some form of debt. It can be an auto loan, a mortgage, or a personal loan. The proceeds from a term life policy will pay off these debts and ensure that these burdens do not burden your family.
2. Funeral Expenses
There are also funeral expenses to consider. Even a basic funeral service can cost several thousand dollars. With a term life policy, you don’t have to worry; these expenses are covered for your family. Invest in a term life policy, and you won’t leave your loved ones in financial distress.
3. Coverage is Affordable
One of the excuses people tend to make for not buying life insurance is the cost. Coverage is often very affordable for most people. Term life insurance is usually less expensive than whole or universal life coverage. Age is also a factor in life insurance pricing. So, the younger and healthier you are, the lower your premiums will be. You can find term life coverage for as little as $1 a day.
4. Estate Taxes
When someone passes away, their beneficiaries often face estate and inheritance taxes on any money or assets they receive. If you’re worried about your loved ones getting hit with an unexpected tax bill, then purchase a term life insurance policy that will help cover these additional costs.
5. Peace of Mind
No one can plan ahead for every situation life throws at us, but by having a life insurance policy, you and your loved ones will be better prepared for any eventuality. Even with minimal life insurance policy, you sleep a little easier knowing that your family has protection in place should something happen to you.
Do you have a life insurance policy in place to protect your loved ones? Get an affordable life insurance policy that fits your needs and protects your family.