Top 5 Reasons You May Need Life Insurance, Even If You Think You Don’t
By Space Coast Daily // March 13, 2022
Nobody likes to think about death and part away from their loved ones. However, in order to secure the future of your family, you may need a good life insurance plan.
Most people also get life insurance due to the waiting period. However, now you can easily get life insurance with no waiting period or health exam.
We interviewed Laura Adams, Insurance & Finance Analyst at QuickQuote, to discover top reasons you may need life insurance. Life can happen so suddenly and unexpectedly that it can seem impossible to plan for. Laura Adams is one of the nation’s leading finance, insurance, and small business authorities and let’s listen to her insights as to why having a life insurance policy is a very good idea.
If you’re still wondering about “Why should you get life insurance?” then you’ve come to the right place. In the following article, you may get the right answer to your question.
Why is it important to have life insurance?
Life is unpredictable. If you’re the provider for your family, you would want to ensure their protection in case of your death. Life insurance provides non-taxable money to your family after your death.
Not just that, life insurance with no waiting period also allows a person to access the full benefits without any waiting period.
What’s the waiting period in life insurance?
A waiting period is the amount of time you should wait before you receive certain benefits after filing some sort of claim.
This is a common practice for insurance companies because they want to be sure that everything you are claiming to be true about yourself meets their standards.
During this time, the insurance agency may not pay out any benefits pertaining to your claim to ensure that it is legitimate and valid.
If you think you don’t need life insurance, here are some important reasons why you probably need it.
#1: Pays for Lost Income
As mentioned above, one of the primary reasons to get life insurance is to provide financial protection to your loved ones. Imagine if the income suddenly stops, your family could benefit from your life insurance money to pay for their daily living expenses.
#2: Save your Family Home
Suppose you have got a family home where you got married to your significant other and had raised your children. Paying a mortgage for that home is a big expense that could take a big chunk of money from a monthly family budget.
With life insurance, you can cover those mortgage payments even after you’re not with your family anymore.
#3: To Finance your Children’s Education
The cost of a college degree has increased significantly over time. An annual tuition fee for private college can cost around $25,000 to $40,000 and $5,000 to $11,000 for public colleges. Life insurance can be a great help in your absence to secure your children’s future.
#4: Tax-Free Source of Cash During Your Lifetime
Life insurance is not just financial support for your loved ones after your departure, but it can provide vital support during your life as well.
Some permanent life insurance can last during your lifetime, and you can save a lot of cash over time or also borrow some tax-free money as collateral for a loan.
#5: To Cover Funeral Expenses
Nobody wants to think about death, but you can’t avoid it, and it’s vital to plan for it, considering it’s a big expense. The average cost of a funeral is around $7,000 to $12,000, including all expenses from the casket to burial and other preparations.
Life insurance covers the cost of the funeral through final expense policies that can cover up to $35,000 expense. The good thing about these policies is they are very affordable and require no medical exam and no waiting period.
There are a myriad of good reasons to get life insurance. It provides your family with more control over their financial future in your absence. However, you should do research before buying life insurance. For that, you can use QuickQuote to compare quotes and benefits of different insurance companies.