When Should You Consider a Family Life Insurance Plan?

When Should You Consider a Family Life Insurance Plan?

September 15, 2020Life Insurance

A family life insurance plan can provide unexpected benefits to you and your loved ones. Life is full of uncertainties, and it can be hard to tell what happens next. By being financially protected, you can have peace of mind and sleep comfortably at night, knowing your family members can receive financial help when you pass away. It's never too late to prepare for the inevitable with The Comparison Company.

It doesn't matter whether you're the breadwinner of the family, the spouse who stays at home, or the one who works part-time. Considering a family life insurance plan should be one of your top priorities if you're a decision-maker or provider in the family. With the right policy, you can be prepared for the long term and enjoy financial flexibility in the present.

If You Are the Primary Earner or Provider in the Family

If you are the sole income provider of the family, then you should consider getting a life insurance policy. When the time of your death arrives, a financial burden on your family can worsen their grief. Think ahead and plan about replacing any lost family income if you, the breadwinner, unexpectedly dies.

Coverage for Non-Earning Spouses

Life insurance plans can also pay for the services of a non-earning spouse when they pass away. Such services include child care and cleaning. Keep in mind that the cost of child care can amount to thousands of dollars a year.

A policy can also cover the funeral expenses and debt of parents or grandparents, so you can be protected in case of ongoing mortgage of outstanding loans. You may even cover the mortgage on a home where the entire family lives, so you won't have to worry about housing situations when elderly parents pass away.

If You Need Family Life Insurance Coverage Until Your Kids Are Grown

Most of the time, children do not need insurance policies because they are not contributing to the family income. But did you know that there are life insurance plans that can cover children between 14 days and 25 years old? These plans can be extended into a form of life policy insurance. Your child can remain covered for his or her lifetime as long as premiums are paid.

Affordable Rates for Children

When it comes to rates, life insurance policies for children are often fixed. They do not increase over time, so you can conveniently pay off the policy after a decade or two. An added benefit to some policies is that your child can be covered for a lifetime while leaving the death benefit intact.

If You Would Like to Build Cash Value

Some permanent life insurance policies have the added benefit of building cash value as time goes on. Acquiring them tends to be more expensive, but they have added perks. You'll have something to borrow against or even withdraw in case your policy has been terminated. When you or the policyholder dies, beneficiaries can expect a guaranteed payout.

Thinking Based on Cost

This added perk, however, should not be the only reason for you to get a life insurance plan. Compared to the value of the death benefit, cash values are often minimal. It is still the best to compare life insurance policies based on the cost of annual premiums and the total coverage they will offer.

If You Are in Good Medical Condition

When looking for a life insurance plan, a key factor to consider is cost. If you and your spouse are at a young age and have a good medical history, then now is the best time to shop for a policy. Severe medical conditions can significantly drive up the cost of your monthly premiums and the entire policy itself.

Keeping Survivorship Benefits in Mind

If both primary earners of the family are in good health condition, they can be ideal policyholders. Sharing a policy can be favorable because it means lower risks for the insurance provider. Survivorship benefits are often not paid until both policyholders die. On the other hand, you'll be paying lower rates and can extend the payment period for many more years.

If You Would Like to Cover Your Child's Loans

If you have co-signed or guaranteed your child's loan, then a life insurance policy can help you cover it. There are also flexible policies that cover term life insurance for college students. Plans such as these end once the debt has been settled, so you can expect lower rates and more affordable premiums.

Are you looking for the right family life insurance to make your future secure? The best option will depend on your family's needs and your expectations for the future. Remember, it is never too late to prepare for the inevitable. To start shopping for the most affordable, cost-effective, and flexible insurance plans for you and your family, review Life Insurance plans today, and discover the one that's just the right fit for you.

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