What Is Life Insurance?
There are several different types of life insurance, and the reasoning to purchase it in the first place varies from person to person. Life insurance in essence is a way to provide monetarily for your family or others if you were to pass away.
Why Get Life Insurance?:
To protect loved ones financially
- Mortgage payments
- Childcare/school tuition
- Living expenses
- Funeral costs
If you are the primary breadwinner
- Replaces income so your family is not scrambling to make ends meet
If you have young children
- Education is not cheap, preplanning to safeguard their education is important
To cover debt
- Life insurance can pay off debts to make sure your family stays unburdened
If you own your own business
- Business partners can often take out policies on each other as a way of succession planning to keep the business afloat
To leave and inheritance/legacy
- Life insurance can be used as a way to pass on wealth or fund charitable causes.
