It has been said by Forbes.com that the number of households in the United States with life insurance have hit an all-time low of 44 percent. This is the lowest it has been in over 50 years. Consumers blame this on confusing products, lower employment rates and lack of dedication from brokers who provide life insurance quotes. Since brokers are more desperate to make a living than provide quality quotes, consumers are unsure whether or not they are receiving sound advice. This can be counteracted, however, by just understanding what makes a good policy for you and your family.
Do You Need Life Insurance?
A lot of consumers feel that they do not need life insurance, but unfortunately most consumers need some sort of protection. Life insurance protects your loved ones in case a tragedy strikes. If you are the sole source of income for your family, how will they pay off creditors or survive? How will they pay for your funeral? These are all costs that life insurance can take care of.
Most consumers will realize last minute that they need life insurance, which leaves them scrambling to pick through life insurance quotes without reading the fine print. Before you rush out, consider your needs and what type of life insurance you actually need to protect your loved ones. People who should look into life insurance quickly include:
- Those with a mortgage payment
- Those with younger children to look after
- Those with college tuition bills
- Those with bills that require a backup plan to pay off
Consider it a Financial Plan
When you meet with an accountant or financial advisor, you are planning for your future. You should do the same by considering life insurance. Since life insurance is a financial protection, you can work it into your financial planning session to ensure that your estate is taken care of even when you are no longer around to do so yourself.
Term or No Term?
Term life insurance only lasts for the specified term. If you are in your forties, you could get away with a 15 or 20-year term insurance plan until your children have grown up and can support themselves. If you are a newlywed in your 20’s, however, term life insurance may run out well before you actually need it. Therefore, when you are looking at life insurance quotes(www.lifeinsurancequotes.net), ask yourself what could happen at the end of that term and if your family will need insurance during that time.