Whether you are 30, 40, 50 or older, life insurance is a necessity when you’ve got a family.
Life insurance, also called term life, term life insurance or death cover, is a way of protecting your family’s financial future. With life insurance you can get a lump sum payment when you are diagnosed with a terminal illness that will allow you to spend time with loved ones and do some of the things you’ve always dreamed of. Life insurance can provide reassurance that your loved ones will be taken care of and may not have to deal with financial burdens or strain that could arise from you no longer being around.
Life Insurance is important if you are aiming to assist your family financially after your death. This could include paying for your children’s education and living costs.
It is also important to ease your mind if you are worried about poor health.
Life insurance is also really important if you are concerned about ongoing financial responsibilities like a mortgage, car payments, credit card debt, line of credit or more. Life insurance can potentially remove all your debt allowing your loved ones to carry on with significantly less financial burden and stress.
Life Insurance works much tha same way your car or home insurance works. You will determine the extend of the life insurance coverage you want, example, how much you want the payout to be in the event of your death or diagnosis of a terminal illness. You then make monthly or annual payments for the life insurance policy. If you are diagnosed with a terminal illness or if you die, you or your family can then collect the payout.
Life Insurance costs are based on the level of risk the insurance company assesses you at. Age is a factor as is lifestyle – if you are a smoker, obviously your risk is higher and therefore your costs will be higher. As an example, a 35 year old male, non-smoker who is covered for $500,000 life insurance would pay approximately $30 per month. In the same scenario, a 35 year old female non-smoker applying also for $500,000 life insurance cover would pay approximately $25/month.
Life Insurance premiums can usually be paid monthly, quarterly, half yearly or annually to suit your budget.