Yeah, thinking about the end of your life is depressing, but we need to remember the fact that if anything happens to us, our family needs to be financially stable, and the safest way to do that is to take out life insurance.Do you want to learn more? Visit McEvoy Insurance & Financial Services
What kind of cover I need?
It depends on your situation how high your life insurance policy cover will be, whether you are single, married, married to young children, married to older children, retired etc. In general you should calculate your annual income by seven or eight to get an idea of how high your cover will be. Some insurance experts claim you’d probably also need up to ten times your annual salary to compensate.
Last expenses and emergency funds Substantial medical, funeral and legal expenses can be excessive and a life insurance policy is a good investment to make sure your loved ones are able to cope with these costs, particularly during their time of distress. Any unforeseen expenses, such as sudden home repairs or car repairs, may also be covered by an emergency fund or life insurance.
Revenue replacement If you pass away, your revenue falls out, and you need to find a replacement to take care of your family financially, helping them to cover the monthly expenses such as food, water and lights, medical help, clothes and school fees. To that end, life insurance is a great choice. Depending on your insurance plan the benefits of your life insurance might also outweigh the financial needs of your family.
Life insurance for disability Not only is life insurance essential in the event of your passing away, it is also a way to ensure that you and your family have enough coverage to sustain their lifestyle should you suffer a severe injury, become seriously ill or become permanently disabled.
Debt settlement When your family no longer has access to your income, debt may be especially distressing to repay and cause significant financial distress. Life insurance services can be used to assist with mortgage repayments, as well as giving the family greater financial peace of mind.
Educational fees Educational expenses can be very high, so they typically need to devise a long-term plan to budget for such costs. Most families save for this over a number of years, before they have ample funds at their disposal to pay for educating their children. However, if you do get anything unforeseen, there might not have been enough time to save all these funds. With life insurance you can build a lump sum which will help pay for the education of your children.
What are the prices, and how do I go about it?
Taking out life insurance is probably one of the most important decisions you’ll ever make, particularly if you have others who are financially dependent on you. Even life insurance is far more affordable than most of us believe. Many insurance plans offer various rates of cover that can be tailored to match your lifestyle and the expectations of your family, as well as potential financial needs. It is vital to talk to your financial advisor for tailor-made advice, who will help to decide the form of insurance policy is right for you and your family, so that you are at peace of mind.