Life insurance; nobody wants to think about it, but it is one of the most important coverages you can have.
What is life insurance?
A life insurance policy is a contract with an insurance company. In exchange for premiums, the insurance company provides a lump-sum payment, known as a death benefit, to beneficiaries in the event of the insured's death.
Who needs life insurance?
If you have dependents (especially if you are the primary provider) or significant debts that outweigh your assets, then you likely will need insurance to ensure that your dependents are looked after if something happens to you.
What are the different types of life insurance?
Term life insurance is designed to provide financial protection for a specific period of time, such as 10 or 20 years. Typically, premiums are level and guaranteed for that time.
Whole life insurance is a type of permanent life insurance designed to provide lifetime coverage. Because of the lifetime coverage period, whole life usually has higher premiums than term life.
Universal life insurance another type of permanent life insurance designed to provide lifetime coverage. Unlike whole life insurance, universal life policies are flexible and may allow you to raise or lower your premium or coverage amounts throughout your lifetime. Universal life policies typically have higher premiums than term policies.
Check out our helpful spreadsheet on our documents page to help you determine how much life insurance you need. This is just a starting point. Once you fill out the document, give us a call and we can discuss your options.