From financial security for your loved ones to peace of mind if you get sick, there are many reasons people opt to carry life insurance even while they’re young and healthy. The basic benefits include security for your loved ones’ future should you die unexpectedly or even after a terminal illness. From death expense coverage to other potential add-ons, life insurance now could pay off long-term for your family members during their time of grief. If you are interested in the benefits to carrying life insurance coverage, read on.
Financial Benefits for Loved Ones
Many people are interested in life insurance simply to protect their family. Regardless of their medical records or health history, many believe it adds to their overall financial strength to be covered no matter what. Financial professionals agree. They advise carrying life insurance coverage for anyone worried about the bigger picture.
No matter what your medical condition, you can get a life insurance quote for your specific situation. The company you work for may even offer group life insurance benefits. Either way, looking into it and asking questions is the first step in finding out the benefits of a life insurance policy that will work for you.
If you’re like many, you want to know the benefits life insurance can offer you family. From coverage for dependents and other beneficiaries at the time of your passing, to death benefits that mean no worries about the cost of funeral expenses or money for education expenses left unpaid, there are many perks to having a life insurance policy.
Paying Death Expenses
Whether you suffer from a chronic condition and have a firm diagnosis or are working on a medical second opinion, you can still look into a life insurance policy for yourself. While any current medical condition might impact your monthly payment, nearly all policies will include a death benefit. These benefits are paid as tax-free lump sums to beneficiaries. While a death benefit will cover funeral expenses, this sum can also be used for other purposes and will work hard to protect your family into the future. For beneficiaries to collect this benefit, your policy must have been active at the time of your death.
When looking into death benefits, you will want to ask about face and cash values. They are not the same thing and will make a difference in how much your family and beneficiaries are able to claim.
Coverage for Minor Children
Policies offer coverage for minor children. After a parent dies, their minor children and spouse are considered beneficiaries to their policies even when unnamed. If you have a child under eighteen years of age, this is something to consider. Whether it is put towards college expenses or any other budgeting need, having a life insurance policy with children as beneficiaries guarantees at least some financial help for them. For extra coverage for your children, you’ll want to ask an insurance representative about rider coverage.
Nearly every insurance company will have a rider policy for you to consider. Don’t ignore the options that could come with this additional coverage. Rider coverage means you can add extra coverage to your plan at an additional expense. Benefits to this bonus coverage could include money for day care, a family income benefit, and even premium waivers. You’ll want to ask about all these things when contacting a licensed life insurance agent so that you can make an informed decision.
While not everyone is ready to sign up for a policy and many worry about the amount of life insurance they can both afford and need, there’s no harm in giving an agent a call to see how a policy could benefit you and your family.