5 Advantages of Life Insurance
November 9, 2021
November 9, 2021: If you’ve spent a significant amount of time recently researching the top benefits of life insurance, you may be wondering why securing this unique type of insurance coverage as early as you can could potentially prove advantageous. Although the exact perks of getting Life Insurance can vary depending on your age, health condition and other factors, there are certain advantages that likely all policy holders can expect. Here are some reasons why you need life insurance.
1. You Could Help Your Dependents Sustain Their Lifestyle
Perhaps the biggest reason many insurance holders opt to get life insurance is that it can help dependents continue to cover crucial expenses and sustain their lifestyle in the event the policy holder should pass away. Expenses could include, for instance:
- Mortgage and/or rent
- School tuition
- Groceries and everyday expenses
- Car loans
- Electricity and utility bills
2. Some Life Insurance Riders Allow Payouts in the Event of Terminal Illness
Depending on your health situation, you may be able to get a life insurance rider that allows for an early payout. Although most life insurance policies only pay out in the event of the policy holder’s death, some allow for payouts in case of diagnosis with a chronic illness or a terminal condition.
3. Certain Policies Could Help Cover Your Final Expenses
As you may already be aware, final expenses, or the costs associated with holding a funeral for an individual, can quickly rack up a hefty price tag. That’s why some life insurance policies can help cover those final expenses. These expenses could include:
- A coffin
- A funerary vehicle
- A burial plot or the cremation process
- Flowers and other wake or funeral decorations
4. Whole Life Insurance Policies (and Others) Build Cash Value Over Time
When shopping for life insurance, you have numerous policy types to choose from. Some of the most common options encompass:
- Whole life insurance policies
- Term Life insurance policies
Although you may already know that your policy provides a certain payout upon death, you may not have been aware that certain policies can actually build cash value over time. This increase in value could help you:
- Provide a key safety net
- Supplement your current retirement savings
- Help you cover key expenses during retirement years or earlier
5. Your Beneficiaries Likely Won’t Owe Taxes on Your Life Insurance Payouts
Depending on your place of residence and your area’s tax laws, your beneficiaries probably will not owe taxes on your life insurance payouts. This tax benefit means that you can rest assured your loved ones will have the financial support they need in the event of your passing.
Whatever your current age and health condition may be, there are several important advantages to securing a thorough Life Insurance policy as soon as you can. Consider getting this essential insurance type.
About 1891 Financial Life
At 1891 Financial Life we don’t just sell policies, we offer possibilities. We pride ourselves on giving back to the communities that we serve by providing quality and comprehensive insurance solutions. We are a not-for-profit life insurance Society, which means the sales from these financial service products help fund member benefits along with social, educational, and volunteer programs designed to respond to community needs.
Our portfolio is extensive, ranging from various life insurance policies to our MYGA to support your financial needs no matter what stage of life you’re in. For more information, contact us at (855) 804-7424.
Find out how one policy can make a powerful impact.