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.
Although there are many situations throughout your life when you may need to change the amount of your life insurance policy, there are three times that stand out. The following is a quick explanation of these three events that may occur in your life and that you may want to get insurance quotes for.
Your just had your first baby
Once you have your first child, your insurance requirements will change. You need to ask yourself what type of hardships will your child endure without your income to support him or her. You need enough insurance to help your child have enough money to support them in your absence. Too often, children will descend into poverty with the loss of a parent who provided them with most of their financial support. One life insurance policy can protect your newborn baby in the case of your premature death. In addition, you should reevaluate your life insurance needs after the birth of another child.
Your children are grown
At some point during your life, your children will leave the nest. If you protected them with life insurance during their childhood, it is likely that you no longer need the same amount of insurance. If you have a spouse, you may want to consider leaving him or her enough money so that your death will not be a hardship. If you are a homeowner, you may want to consider a term life insurance policy that will be sufficiently high enough to pay off your mortgage and allow your spouse to pay for maintenance and taxes for your home.
You have entered your retirement years
Once you enter your golden years, your insurance needs often take a new direction. You may have enough for yourself and your spouse, if you are married, but if you were to die, you don't want to be a financial burden to anyone. Funerals can be expensive, and so can a burial as well as many other costs associated with your death. Even if you have some assets you want to leave a loved one, you don't want them to spend their time selling these assets to pay for funeral costs. At this point, it may make sense to purchase an end-of-life insurance policy. These policies are meant to pay your beneficiary enough money to take care of your funeral expenses.
Throughout your life, you need to have life insurance, but as circumstances in your life change, so will your insurance needs. The three situations outlined above are among the most important times to think about your insurance needs.
Share7 July 2016
