Life insurance is something that every parent should have to ensure their children will not go through financial turmoil should one parent pass away.
The importance of a life insurance policy grows significantly when you start a family. Your income may play a large role in paying off the mortgage, car payments, student loans, and any other significant expenses your family accrued. But contrary to popular belief life insurance does not have to be a difficult thing to get. If you are considering life insurance because you just started a family, here are a few tips from the New Parent Guide to Life Insurance that you need to know about.
WHAT IS LIFE INSURANCE? Life insurance is a policy that provides a payout in the event of the insured person’s death (in this case, it would be your death). As a parent, you can elect to designate the death benefit to your spouse, children, or other trusted guardian.
WHAT KINDS ARE AVAILABLE? There are two kinds of insurance available: term life insurance and whole life insurance. The former, term life, is the most popular as it’s the least expensive but as the name suggests only lasts a specific amount of time chosen upon purchase. Whole life insurance is more expensive but lasts your entire life and can turn into cash value after your retire.
HOW MUCH DO I NEED? You need to know a few things before you purchase any old policy: mortgage, car payments, student debt, future tuition (for the children), and any other expenses you have/may have in the future.
To learn more about life insurance and what it can do for your loved ones, contact Donald Weiss Insurance Services. Our dedicated team will help determine your coverage needs, helping you pick the right policy with the right term for your life goals. Don’t be left with questions when buying this essential coverage; call us today!