Keep These 3 Factors in Mind When Purchasing Life Insurance
Purchasing life insurance is not a topic many like to discuss, but it is very important to have a plan. You do not want to leave your loved ones with a burden or expenses, especially while they are grieving. To help you prepare for the future, here are three tips for purchasing life insurance.
- Types of Coverage: There are two different types of coverage, and they are term life and whole or cash value insurance. Term life is more expensive, accumulates cash value and never expires. Cash value is more affordable, does not accumulate cash and expires within 10 to 30 years.
- Individual Goals: One of the most important tips for purchasing life insurance is to use your goals to decide which type of coverage is best for you. You may want a plan that allows your beneficiary to accumulate cash over time, or you may be looking for a plan you can afford right now.
- Policy Value: When analyzing your need for coverage, be sure to keep your current and even your future budget in mind. Your death benefits can be used to pay off existing debts, reduce expenses for your family or invested in real estate or stocks. It is very important to figure out how your family’s budget may be affected at the unfortunate time of your passing, so you can figure out how much insurance is needed. We would recommend using an online life insurance calculator.
If you are looking for additional tips for purchasing life insurance, Schumacher Insurance Agency is ready to address your concerns. We do not just sell insurance, but we make sure our clients walk away with more knowledge on insurance than before they came to us.
When you are ready to discuss or purchase life insurance, contact the Schumacher Insurance Agency.