Choosing the right type of Life Insurance can be complicated and sometimes confusing, but as with many things in life, considering the unexpected is important. Remember, your Life Insurance is not about you, it’s about the loved ones you leave behind.
Here are three ways this type of cover can take care of them should the worst happen.
A shelter against uncertainty
For better or worse, life is an unpredictable string of situations and circumstances, with a curveball here and there. The good news is, Life Insurance is designed to mitigate the impact of uncertainty. You can enjoy peace of mind, knowing that – whenever the unexpected occurs – your family will receive invaluable financial support.
It’s about protecting their dreams
If you have young children, or kids who are just starting to spread their wings, Life Insurance can be a way to protect their dreams for the future – a quality college education, a wedding, a brand-new business venture…
By taking out a policy and naming your children as beneficiaries, you can create an inheritance that will have a significant impact on their whole life.
Valuable support in the short and long run
Your Life Insurance payout can be used for whatever purpose your dependants require. For example, it can cover everyday living expenses, such as bills, rent and childcare. Plus, it’s important to plan for funeral costs, as your family may need financial support while going through that hard time. And of course, your cover can help with unpaid debt and other long-term commitments, like credit cards, mortgages and car loans.
How much Life Insurance do you need?
Now to the age-old question – if Life Insurance is what you need, how much coverage should you secure? The answer depends on your circumstances. A good starting point is to think about what would be your key concerns if you passed away tomorrow.
Do you have a mortgage to pay off or other unpaid debt? Would you like to provide an ongoing income for your loved ones? Would your family be able to afford high-quality education for your children? And do you have enough savings to cover your day-to-day expenses?
As you can see, there can be a lot to think about and process. But you’re not alone in this. Talk to us – as your adviser, we can look at your financial commitments and family situation, and help you work out some realistic figures which fit your budget.
An Adviser Disclosure Statement is available free and upon request.