Do I need life insurance?
Most people do not enjoy talking about life insurance, however, it can be one of the most important conversations that you have. What would happen to your family if you get hit by the proverbial bus? Will they need additional financial support without your income? How will they pay for your funeral and current debt? If you own a business, is there a key person that your business depends on? All of these questions can pose serious financial trouble for your family if there is not life insurance in place.
Life insurance is used to secure your family’s financial future in the event you are no longer able to provide. It can replace your income for your spouse and family, or provide a college education for your children. Use it pay off a home mortgage, and reduce many other family obligations. From a business standpoint, it can be used to help secure a loan or give financial cushion to hire the next great You. As a plus, the death benefits are income tax free! Watch this quick video to learn about the different types of life insurance:
Term Vs. Permanent
Term Life Insurance: Think of it as renting an apartment. Term insurance is designed to run for a specific term or amount of years. Generally, 10, 20 or 30 years. During this time, you pay the same premium every year and your life is insured for the value of the policy. This type of life insurance allows you to get the most coverage with the lowest premium.
Permanent Life Insurance: Think of it as owning a home. Permanent life insurance is a policy that you own. It accrues a cash value and can provide a variety different benefits. This type of life insurance can help in a financial emergency, provide long term care benefits, help with retirement, and many more. In most cases, you are able to withdraw money, income tax free. This plan provides more “whole life” value as compared to term insurance.
How much coverage do I need?
As you can imagine, this is a loaded question with an answer that can vary dramatically depending on the individual. As a simple rule of thumb, we recommend buying a life insurance policy limit no less than eight (8) to ten (10) times your average annual income. Factor in your current employment status, future family plans, current debt load, earning potential in when choosing the proper limit.
As your life changes, so do your life insurance needs. We want to be here to help as it does.
Let us help protect your family’s story…
14785 W. National Ave., New Berlin, WI 53151
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