Ask yourself these questions when shopping for life insurance.
If you’re looking for life insurance, you may understand that it can be a complicated and daunting procedure. The important thing is not to get overwhelmed. Instead, try asking yourself a few life insurance questions to help you find a policy that is right for your family, needs, and budget.
Should I get term or whole life insurance?
Generally, there are two types of insurance policies available: term life insurance and whole life insurance. Term life provides you with coverage for a specific number of years, for example, 30 years. The policy will only pay out of the policyholder dies within the term length. Whole life, however, lasts for your entire life. It also sets up a financial account that earns interest, giving you dollars you can borrow or withdraw. The type of policy you choose will depend on your budget and needs.
How much cover should I get?
The amount of life insurance cover you might need depends on your current situation (income, mortgage, debt, kids, age, etc.). Generally, you will want to ensure that you have enough to cover your family’s immediate and future financial needs after you have passed. Life insurance is able to pay off remaining debt, cover funeral expenses, and leave enough for your spouse to retire as planned or for your child to go to college.
How much premium can I afford?
Life insurance should fit comfortably into your budget. You never want to be at a point where you are stretching your budget to pay your premiums. There are many cases where people buy whole life insurance because they like the idea of being covered for life, but find out that they can’t keep up with the payments. As a result, the policy lapses, taking away any coverage. Affordability is incredibly important to consider when securing insurance.
No matter how you look at it, life insurance is an essential type personal coverage. Don’t hesitate to ask a trusted insurance expert questions to help you understand a little bit more about what life insurance can offer you. For more information about getting the life insurance coverage you need, contact the experts at Donald Weiss Insurance Services. Our dedicated team is ready to get you covered today.