You may have already made your New Year’s resolutions for 2024, but it’s not too late to add one more. Like many people, saving money so you can provide for your family may be one of your top resolutions. However, that may not be enough to replace your income and pay final expenses if you die. You should also consider purchasing a life insurance policy as one of your New Year’s resolutions.
Your family depends on you, but what if you are no longer around? Unforeseen things happen, so prepare now to ensure your family’s financial security. You’ll gain peace of mind knowing you’re doing everything you can for your loved ones in case you pass away prematurely.
Life insurance is a good idea regardless of your age or financial status. Did you know only about 34% of Gen Z report having life insurance coverage? Even those who have coverage believe they don’t have enough but can’t afford more.
Understandably, people who are young and healthy often feel that they will get around to buying insurance later in life and that it’s not necessary at this age. Because of this, many families struggle with financial hardship after their young, uninsured loved one dies.
If you’re unsure about getting life insurance, here are some reasons why it is a good New Year’s resolution:
> Life insurance is more affordable than you think.
Most people assume life insurance is out of their budget. In truth, the actual cost is quite affordable. Although each insurance company uses different criteria to determine rates, your age can be a significant factor. For instance, if you are a healthy 30-year-old male, you can get a $500,000 twenty-year term life policy for around $34 a month. The same policy for a 45-year-old is double that amount.
If you wait until you’re older, the premium will be higher. Also, you risk being denied coverage if you have serious health issues.
Buying a term life policy is a good option if cost is your main concern. However, later, you can convert the term policy to permanent life in the first five years. Switching from term to permanent life insurance provides additional benefits. For instance, a permanent or a whole life policy builds cash value that you can draw from if you need to. However, the final payout to your beneficiaries will decrease based on how much you’ve borrowed from the cash value.
> Your coverage at work may not be adequate.
Your group life insurance policy at work may be limited to one or two times your annual income. Think about your family’s goals and your current living expenses. Will your workplace policy provide for your family in the manner they’re accustomed to? More than likely, it will fall short. Experts recommend coverage that is equal to about ten times your yearly salary.
Unlike your workplace insurance, an individual life insurance policy provides protection no matter where you work. Another great benefit of individual policies is that you can customize your coverage by adding riders or endorsements.
> Guaranteed protection and income replacement.
If you have a family or own a business, many people depend on you. A life insurance policy provides an essential safety net for them if you should die. Your beneficiaries receive a tax-free lump-sum payout as long as the premiums are paid in full at the time. The money will help cover household expenses and college tuition, or help sustain the family business.
Confused About Life Insurance? Let Sandifer Insurance Agency Help
Whether you’re male or female, married or single, buying life insurance is a great way to show your loved ones you care. Today, saving money is difficult due to rising costs of living. You may feel like you’ll never be able to save enough to meet your family’s needs if you can’t work or if you pass away. A life insurance policy can ease your worries.
After weighing the options, you must decide which type of policy is right for your needs. You’ll have many questions and we will answer them honestly and accurately based on our 40 years of experience in the insurance industry.
Sandifer is a family-owned company that strives for excellence in customer service and is committed to earning our client’s trust. We promise a prompt and efficient response to claims to ensure a satisfactory resolution.
Do you need term life or permanent life insurance? How much insurance do you need? If you’re confused and are having trouble deciding, the experts at Sandifer Insurance Agency can help. Reach out to us by phone, email, or online to speak with one of our knowledgeable agents to get the most affordable, reliable insurance available.
Sandifer Insurance will also help with your other insurance needs including:
We can also help you with renters insurance, historic home insurance, manufactured home insurance and more.
Contact us for a no-obligation, free quote today.
Sources:
iii.org/– Facts + Statistics: Mortality Risk
naic.org/ – Overview: Life Insurance