Category Archives: Life Insurance
After years of hard work, you’ve finally received your diploma. Soon you’ll be faced with many new and exciting life changes involving work, money, living spaces, and possessions. But with all the excitement, have you thought about insurance?
There are five basic insurance tips every new graduate should consider:
When it comes to paying for college, many parents find themselves faced with rising tuition costs and uncertainty about the best way to save for education. While 529 education savings plans, or other state-sponsored savings accounts, certainly have their advantages, using life insurance to pay for college is an alternative that parents are tapping into. In fact, Sallie Mae, the nation’s largest private provider of student loans recently reported that 19 percent of families saving for college are including life insurance policies in their plans.
Chances are, if you bought a life insurance policy, you did so to protect your family from financial loss in case of your passing. But, did you know that you can borrow against certain types of life insurance policies? Let’s look at how it works and why you might want to consider doing so.
First, it’s important to understand that you can only borrow against a life insurance policy that allows you to do so. These types of policies are called ‘permanent’ or ‘cash value’ life insurance and they differ from term life insurance, which pays out only if the policyholder dies during the policy term. Permanent life insurance policies pay a death benefit no matter when you die. A portion of the premium you pay funds a separate account that builds up cash value. Depending on the permanent life insurance policy you have, this cash value may be a part of your death benefit, or in addition to it. You can also borrow a portion of this cash value. The amount you can borrow depends on the specifics of your policy.
A quiet trend in America is the growing number of single-income households, largely run by stay-at-home spouses. If this is the case for your family, it’s likely that you and your spouse have life insurance protection for the breadwinner of your household. However, have you given thought to how you will protect the financial and emotional security of your family should the stay-at-home partner pass away? If not, now’s the time to think about securing life insurance for your family’s stay-at-home spouse.
For small businesses and start-ups, employee recruitment is an important focus and money is considered the make-or-break benefit that will attract top talent. Key positions need to be filled, often quickly, so spending time to really develop a benefits package that will attract and retain skilled workers is something that often gets put on the back burner, but this is a short-sighted strategy. If your hard-won recruits don’t feel valued and decide to move on from your organization the costs in terms of productivity and financial and human capital can be extremely high.
For all you “marrieds” out there—think back to the moment when you said your marriage vows. If you had a traditional ceremony, you and your spouse likely uttered something along the lines of the phrase “’Til death do us part.” After that moment, if you’re lucky (and like most married people), you probably don’t think about the death of your spouse—much less talk about it with your partner. However, avoiding the topic because it’s difficult, and neglecting to discuss life insurance with your spouse, can be detrimental to your family’s financial security.
There’s no doubt about it, young adults are staying single longer and often have more debt and other financial obligations than their parents did at their age. If you’re in your 20s or 30s and unattached, it’s important to consider life insurance as part of your financial strategy.
September is Life Insurance Awareness Month, the perfect time to consider how singles can benefit from purchasing life insurance. Once considered something that only married people with dependents need, young single people are gaining a deeper appreciation for how life insurance can provide critical financial support to their loved ones and even help them leave a legacy in the event of their untimely passing.
Life Insurance 101: With So Many Different Life Insurance Policies Available, Which One is Right for You?
Are you one of the estimated 95 million Americans without life insurance or sufficient life insurance coverage? If so, it’s time to consider why:
- If thinking about life insurance reminds you of your mortality, consider the important silver lining that life insurance provides: financial security for your loved ones in the event of your passing.
- If you think that life insurance premiums won’t fit into your budget—you may be surprised. Life insurance is generally quite affordable, especially if you are healthy.
- If you’re not sure that life insurance is necessary for your specific situation, think about how the loss of your financial support may affect your family—regardless of whether you have traditional dependents.
With so many different types of life insurance policies available, it’s easy to find one that fits your specific situation. The following life-stage guidelines from LIMRA (Life Insurance Management Research Association) can help you determine how life insurance can benefit you. If you already have life insurance, use this information to determine if your existing coverage needs to be updated.
September is here, bringing with it the hectic first days of school and, for many of us, a return to a more structured routine. This time of year also marks Life Insurance Awareness Month—a reminder to consider whether your family is adequately protected should an unforeseen tragedy occur.
No one likes to think about their own mortality, but if you have financial dependents, you need to make sure they’ll be taken care of should you pass away unexpectedly. The best way to protect your family’s financial security is to obtain a life insurance policy. By doing so, you and your loved ones will have peace of mind knowing that proceeds from your policy can be used to: