Term Life Insurance - What is it and do you need it?
It is the last thing you want to imagine or think about. Will you be financially ready if the unthinkable, a tragedy, or an accident occurs and your spouse passes away?? Life is full of surprises and unfortunately for some, it is cut abruptly short. What are you going to do if your spouse dies and you still have to pay the mortgage, kids’ educations, credit card debt, and more? For too many people never obtaining a life insurance policy is one of the costliest mistakes they make.
You may be wondering what exactly is a term life insurance policy? In simplest terms, a term life insurance policy provides coverage for only a specific amount of time if your spouse passes away. Term life insurance policies are usually 10, 20 or 30 year term policies. You purchase a fixed amount of coverage, usually about 500k or 1 million in coverage (can be more or can be less). If your spouse passes away after the term period is over then you do not get the death benefit payout of the insurance policy. Of course, you hope to never use the policy, but it provides great peace of mind if tragedy does strike.
The last thing you need to worry about when your spouse passes away is money. A term life policy is the most simple and most affordable type of life insurance and the correct choice for most families. Some of the expenses life insurance can help pay for are:
- Burial/funeral expenses
- Pay off debt such as student loans, mortgage loan, credit card debt, auto loans
- College expenses
- Estate taxes, death taxes, and state taxes
- Business planning – if you own a business it is vital you get a life insurance policy
Term life insurance rates will vary from person to person depending on age, health, and gender.
If you need a quote, don’t hesitate … call or email our agency today.