Choosing Better Insurance Coverage

Few things are more important than having the right insurance coverage. About ten years ago, I was involved in a near-fatal crash where I experienced traumatic physical and emotional injuries. It was really challenging for me to endure the hospital stay and subsequent physical rehabilitation, but with the help of my medical team and my insurance company, I was able to overcome the challenge and completely recover. This blog is all about the importance of choosing the right insurance plan so that you can get on with your life and enjoy those precious years with your family and your friends.

3 Things To Know About Life Insurance As A New Parent


If you just had a child, one of the things that you should think about now is how you will provide for your child should anything ever happen to you and/or your partner. You are now responsible for your child's care for their entire childhood. One of the best ways to ensure that your child will always be taken care of is by investing in life insurance for both you and your spouse. 

There Are Two Primary Types Of Life Insurance

One of the most important things that you need to know is that there is more than one type of life insurance coverage that you can purchase. The two main categories of insurance coverage that you can purchase for your life are a term life insurance or permanent life insurance.

Term Insurance:  Term life insurance is designed to give a person coverage benefits for a predetermined time frame. For example, you can purchase a policy that will go into effect if you pass away for any reason in the next twenty years. Once twenty years has past, the policy is no longer valid and there are no longer any benefits associated with the policy. The length of time for a this type of policy can vary widely, from really short terms, such as five years, to really long terms, such as fifty years. Term life insurance can provide you with the protection you need while you need it.

Permanent Insurance: Permanent life insurance is with you for your entire life, no matter how long that may be. If you pass away in five years or seventy years, your family will still get the benefits associated with your policy.

Benefits Of Term Life Insurance

One major benefits of term life insurance is that you can ensure your family is provided for all the way till your kids are out of your house and leading their own successful lives. For instance, if your youngest child is an infant, you'll want a term of around at least twenty to twenty-five years to ensure that your child is taken care of all the way through college.

However, you can always pay for smaller and shorter policies. A term life insurance allows you to purchase life insurance for when you need it most. Term life insurance tends to be more affordable because you can dictate the terms more. Term life insurance is generally designed to replace your income should you die.

Benefits Of Permanent Life Insurance

These types of plans tend to be a little more pricy than term life insurance plans. This is a great option if you have a child with a disability who is going to have specialized care provided to them for their entire life. A permanent life insurance policy can be a good way to ensure that your child is always taken care of.

A permanent life insurance policy can be used not just to replace your income, it can be used as an asset that you have and can leave to your family.

Sit down with your spouse and discuss what types of financial needs you would have should either of you were to die. Discuss how much money you would require to raise your children as a single parent, and discuss any special needs that your child and family have. Use this information and your family's personal factors as well as budget to determine what type of policy you and your spouse need to obtain. For more information, contact a company like Advantage Insurance Agency, Inc.


5 July 2016