Life insurance is a contract with an insurance company. The company promises to pay a designated beneficiary a sum of money in exchange for a premium upon the death of the policyholder. There are many reasons you should get life insurance. Today, I will go over a few of them with you.
The first reason that you should get life insurance is to help offset the cost of funerals. They are not cheap by a long shot. The average funeral costs over $6600. The life insurance policy can help pay for your funeral and burial costs. Your family will be glad that you purchased one.
Supplement your income
The second reason that you should get life insurance is that you can use your life insurance to supplement your income. It can help with numerous financial obligations such as your kids dental or doctor’s visits.
It can protect your loved ones
The third reason to get life insurance is because it can protect your loved ones. It will help them out financially during their time of need. The life insurance policy could protect your spouse and children from financial problems if you pass away unexpectedly.
Provides a peace of mind
The fourth reason that you should get life insurance is that it provides a peace of mind. With life insurance, your family won’t have to worry how they are going to pay for your funeral and burial. Life insurance takes care of all that for them.
Life can be unpredictable
The next reason to purchase life insurance is because in life anything can happen. Life is unpredictable. Things happen outside of our control all the time. Life insurance can help your family if the unexpected does happen.
Provides a cash value
The sixth reason that you should consider life insurance is because it provides cash when it is needed the most. During your time of need, the policy will pay the benefits to the beneficiary. Different plans pay out different amounts. Make sure that you do your research and pick the best one.
Create an inheritance
Another reason you should purchase life insurance is that you can create an inheritance for your heirs. All you have to do is name them as beneficiaries on you policy.
Pay off estate taxes
The final reason that you should purchase a life insurance policy is because your family can use the money to pay off estate taxes. Those taxes could fluctuate depending on a person’s lifestyle. Estate taxes is something that your family may not have the money to pay for out of pocket. The insurance will take care of that for you.
To summarize, the reasons to get life insurance are to help with the costs of funerals, to supplement your spouse’s income, to protect your loved ones, to provide your family with a peace of mind, to help your family if the unexpected happens, to provide your family extra cash, to provide an inheritance, and to use the money to pay off estate taxes.
Do you have life insurance? Why or why not?