If you have children or dependents, there’s no way around purchasing life insurance. Although the odds are overwhelming stacked in your favor, tragedy can strike at the drop of a hat. If you succumb to a sudden illness or are involved in a devastating accident, where does that leave your family? It goes without saying that they’ll grieve your passing, but they’ll also feel it in the form of financial distress – particularly if you’re the primary breadwinner. Fortunately, investing in a life insurance policy will provide both you and your loved ones with tremendous peace of mind. When shopping around for the right policy, you’ll likely come across the following options.
Term Life Policies
Typically the most affordable type of life insurance, term-based policies have a number distinct perks and disadvantages. Since term-based policies are meant to insure people for a pre-determined amount of time, they technically don’t constitute “life” insurance in the strictest sense. Still, in addition to their relatively low monthly premiums, these policies have a lot to offer. For example, many term-based plans involve the policy-holder’s mortgage being paid off in the event of his or her death. Furthermore, these plans will reimburse your family members or dependents for any income lost as a result of your passing – for a limited time, anyway.
Anyone in the market for a good term-based plan should contact the Alliance Financial Group. With Alliance’s term life insurance policies, your monthly premiums and the sum for which you’re insured will not fluctuate in the slightest for as long as the policy is in effect.
Whole Life Policies
As you can infer from the name, a whole life policy will remain in effect for your entire life. Of course, depending on the provider you choose, you can cancel a whole life policy at any time. As people get older, their priorities often change, and dependable insurers understand this. Additionally, the sum dependents receive in the event of a policy-holder’s passing only decreases if plan-holders start withdrawing money from their respective policies. Not surprisingly, the monthly premiums associated with these plans tend to be pricier than term life premiums, but the additional peace of mind is often well worth the expense.
Universal Life Policies
Given the name, it should come as no surprise that universal plans constitute the most comprehensive life insurance policies under the sun. Somewhat similar to whole life insurance, universal plans allow policy-holders to insure multiple individuals within the same plan. Furthermore, policy-holders can elect to pay heightened premiums and allocate the additional funds to a tax-free savings account. So in addition to preserving your family’s fiduciary wellbeing, a universal plan will help you and your partner to save for retirement.
No one enjoys thinking about their own mortality, but life insurance is, first and foremost, a precaution. As the adage goes, “hope for the best, but prepare for the worst.” It behooves any responsible family man or woman to take steps to ensure their family’s financial security in the event of their passing. With that in mind, finding a comprehensive life insurance policy should be high atop your list of priorities.