If your family were in some kind of danger, how far would you go to protect them? Most people answer that question by saying they would do anything to protect their family.
Life insurance is one of the key ways you can protect your family and keep them safe in the event that something happens to you. Nobody likes to talk about death, and we get that. But life insurance is about protection and safety for the people you love.
We hear some common misconceptions about life insurance. The biggest is that people think they can’t afford it. Maybe they once got a quote for a million dollar policy with a really high premium or perhaps they’ve listened to Uncle Joe’s stories about how life insurance is a scam. But in reality, there are many different kinds of life insurance products and coverage options available to provide that protection for your family.
- Universal life insurance policies gain cash value at a variable rate based on the market. There can be some flexibility on the premiums and you may be able to borrow from the cash value as well.
- Whole life insurance policies have a fixed premium for the duration of the policy and also accumulate cash value over time.
- Term life insurance covers you for a specific time period, usually 10, 20, or 30 years. These policies typically cost more the older you are.
- Credit life insurance is sometimes offered to people during vehicle financing. They have a fixed premium but decreasing value as the vehicle loan diminishes over time.
- Key man insurance is a business policy that protects the business from lost revenue if a key revenue producer passes away. Some policies will split the benefit between the business and the employee’s family or estate so that both are protected.
We don’t recommend credit life insurance, as you’re much better off to simply get a term life insurance policy that has the same fixed premium but with a fixed value in case something happens to you. Then that money can be used to pay off the car or used anywhere else it might be needed.
Another option is a blended policy, which we frequently recommend to our clients. A blended policy has a small portion of whole life insurance that stays with you forever and a larger portion of term life for a set period of time. When the term life policy ends, that portion of your premium continues to go into the whole life policy and gain cash value.
What does all that really mean? It means you have a lot of options when it comes to protecting your family with life insurance. And there are affordable options for nearly everyone.
We have a long list of providers available, and we work with each of our clients to find the best policy for their needs. Some companies have faster underwriting, some offer policies that don’t require a physical, and still others have options for blended policies.
We insure our cars, our houses, and often other belongings. What about protecting your loved ones with life insurance? We’re here to help you protect your family and your finances.