Katrina Terry
Life insurance is an important part of every family's emergency preparedness. Don't think that you can actually totally care for your family in a crisis if you don't have life insurance. Many times the emergency that takes place is the death of one or both parents, which is why you must prepare for that situation as well. Here are some things you should know about carrying life insurance.
1. Both Parents Should Have A Policy
One mistake that many people make is thinking that if they are not the primary breadwinner in the family, they don't need a life insurance policy. This is a dangerous thought and can get you in trouble in the future. Of course the primary breadwinner should have a life insurance policy. This policy will help to pay for basic needs if they were to pass away. However, you shouldn't undervalue the cost of a stay-at-home parent.
If your spouse were to pass away, you would now be paying for childcare, house cleaning, meal services, not to mention the funeral and end of life costs. You should always carry a policy on both parents. Even if the policy on the stay-at-home parents is less, it is better than having nothing.
2. You Should Get It While You Are Young
One of the best ways to save money on life insurance is to get the policy while you are young and healthy. The way life insurance is calculated is based off your risks. Thus, if you don't get the policy until you are older, in poor health, and more at risk for diseases like heart disease, cancer, or diabetes, you are going to pay a lot more than someone who is in their 30s and who is healthy and active. If you can get the policy while you are young and healthy, you can lock in the price and pay a smaller amount for years to come, while still having the peace of mind knowing you are protected.
3. You Should Get Enough To Pay Off Debts
When you get your life insurance policy make sure you get enough so that your survivors can pay off your debts. This is something that a lot of people fail to recognize. When you pass away your survivors will still be responsible for some of your debts. This means that you need to leave them with enough so that they don't have to worry about your debts, and their living expenses, and the funeral expenses.
By understanding these things you can protect your loved ones.
When you start thinking about getting insurance, it can be overwhelming to hear the advice from family and friends. While some people might encourage you to stockpile money and insure yourself, others might warn about the expense of paying for car repairs or a stay in the hospital. However, even the most conservative financial experts talk about the importance of having sound insurance. Because it can be difficult to find the right policies, I decided to create a website completely dedicated to providing free information about insurance. Every situation is different, but if you are like most people, you will need a decent homeowners, medical, auto, and life insurance policy to protect you from unforeseen circumstances.