Should You Have Life Insurance

Stay alive and a standard term life insurance plan has zero return start a 20 year term policy today and if you don t die by 2040 you ll have received nothing.

Should you have life insurance. Regardless of how much you need the good news is that term life insurance is very inexpensive especially when you re young. Some experts say you should have enough life insurance to cover five to 10 times your annual income especially if you have a young family but often that s just a guess. That means you would suffer financially if they pass away. With whole or universal you get the protection of a death benefit and also there s an investment component called its cash value.

Life insurance allows those you leave behind to take care of any lingering financial responsibilities. It s up to you to work out if this policy is enough to cover your needs and whether or not you need an additional life insurance policy. But insurance payouts can actually provide a good supplement your savings. The reason you should never only rely on life insurance at work is that you could lose your job or decide to change jobs and once you do that you lose that life insurance policy.

We discuss how much life insurance you should have specifically in this post and we ve also put together a simple life insurance needs calculator to help you crunch the numbers yourself. Life insurance comes in two basic flavors. How much you ll get. You can buy life insurance on someone else such as a spouse or a parent as long as you have an insurable interest in that person.

Although generally renewable term insurance is sufficient for most people you have to look at your own situation. I can t just cancel it. You may not have thought that a life insurance policy would be a viable option. There are a number of ways to save money for your child s education.

If you need life insurance it is important to know how much and what kind you need.