Life Insurance
What Is It?
Life insurance provides a tax-free payment to your beneficiary when you pass away. This coverage helps bring peace of mind to your spouse and family, giving them the financial support needed to make important and often difficult decisions during a very stressful time.
Do you need life insurance?
To find out, ask yourself: Would your passing affect your loved ones financially? If yes, then you may want to consider life insurance. It provides support to those who depend on you, helping them financially when you’re no longer around.
What types of life insurance are available?
There two types of life insurance coverage to consider. Both are great options, each with unique features to meet different needs.
- Term insurance:
Term life insurance offers coverage for a set period, like 10, 20, or 30 years. It is often the most affordable type of life insurance and pays a death benefit if the policyholder passes away during the term. Once the term ends, coverage stops unless you renew it or switch to a permanent policy. This type of insurance is a good choice for those looking for temporary protection to support loved ones or to cover expenses like a mortgage or education during important years.
- Permanent insurance:
Permanent life insurance provides lifelong coverage as long as you continue to pay the premiums. It includes a death benefit and a cash value component that grows over time. This cash value can be borrowed against or withdrawn and often serves as a savings component within the policy. This type of insurance is a good option for those who want both insurance protection and a way to accumulate savings over time. It offers stability and peace of mind, ensuring long-term financial security for beneficiaries.