Life Insurance
How do you figure out if you need life insurance? What type would you buy? Why? Where would you go? What considerations should be made prior to making the purchase?
How do you figure out if you need life insurance? What type would you buy? Why? Where would you go? What considerations should be made prior to making the purchase?
Does anyone rely on you financially to live. This usually comes down to having children or a spouse who would suffer if you passed. If neither of those things apply, it is likely you do not need life insurance.
If you need life insurance, buy term and avoid the expensive and wasteful cash value policies like whole life, traditional life and variable life.
Go to term4sale.com or accuquote.com to get a term policy if you need one. They will scour the United States for the best deal and they will not try to sell you the expensive cash value policies that your local agent will. How much? 6 to 10 times your yearly gross income is a good idea AND then make sure your loved ones know what to do with that large sum of money if it happens. P.S. The local agent makes big commissions off those cash value policies so we shouldn’t be surprised when they are pushing them so hard.
On a final note, before buying any life insurance, go to socialsecurity.gov and review your Social Security statement. If you have children, Social Security will turn into a free life insurance policy. Review the survivor benefits per child, per surviving spouse, and maximum family benefit.