No one really wants to think about life insurance. But if someone depends on you financially, it’s a topic you can’t avoid because Life insurance isn’t for the people who die. It’s for the people who live.
Getting life insurance doesn’t have to be hard (or boring). I have three answers to common questions about life insurance so that you can make informed decisions about protecting your loved ones financially.
1. Q1. Why is life Insurance is worth it ?
There are many answers to the question of why is life insurance important. But by and large, the most important one is ensuring your family’s financial security and peace of mind.
If anyone depends on your income, they would most likely struggle if you were to pass away. That’s why life insurance is so important to have. There are different types of life insurance policies, but essentially they all pay cash to your loved ones when you die. Money from life insurance can be used to cover daily living expenses, a mortgage or rent payments, outstanding loans, college tuition and other essential expenses. Life insurance is the best way to ensure that your loved ones would be in a good financial place if you and your income were no longer in the picture.
2. Q2. What does Life insurance cover ?
Life insurance covers virtually any type of living expense. Some common expenses include:
Immediate Expenses : Funeral and burial costs , Uncovered medical expenses ‘ Mortgage r rent , Car loans , Credit card debt , Taxes , Estate settlement costs etc
Ongoing Expenses : Food , Housing Utilities , Transportation , Health care and insurance, Continue a family business etc
Future Expenses : College costs , Retirement etc
3. Q3.Do I need Life Insurance ?
If someone depends on you financially, you are most likely someone who needs life insurance.
Life insurance provides cash to your family or loved ones after your death. This cash, known as the death benefit, replaces your income and the many non-paid ways you support your household. Your family can use this cash to pay for expenses like funeral costs, a mortgage, college tuition and more.
Just a few examples of people who often answer “yes” to the question of “Should I get life insurance?” include:
Married or partnered couples
Many partners find it difficult to make ends meet without the other earner’s income in the picture.
Married or partnered couples with kids
In addition to losing one partner’s income, the surviving parent may have to pay for childcare and more without the other parent around to pitch in.
Single parents
As the sole income earner for your family, you’ll want to think about how to replace your child’s only source of financial support.
Stay-at-home parents
From cooking meals to shuttling kids to school to helping with homework, stay-at-home parents perform many critical responsibilities that would be costly to outsource.
Empty nesters
Many surviving partners would not be able to maintain the lifestyle they worked so hard to achieve without life insurance.
Retirees
Depending on the size of your estate, your heirs could be hit with an estate-tax rate of up to 45%. Fortunately, cash from a life insurance policy gives heirs access to tax-free money to pay for immediate costs and more.
Business owners
Life insurance can help your business in many ways if you, a fellow owner or a key employee were to pass away
Fore information please feel to mail me
Ranjeet Kumar Mundhra
Advocate & Financial Instructor
M : 9331618264 / 9883141321
E-mail : TRLC1857@GMAIL.COM
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