- Pay expenses left behind
Unfortunately, along with the grief that follows the death of a loved one, there are traditionally a buildup of expenses left behind as well. The costs of funerals and burial options can be overwhelming, especially for families that are already burdened with loss. Many people may also be left with medical expenses, estate taxes, and various personal debt. Having that insurance pay off can be lifesaving and a huge stress relief for grieving loved ones.
- Leave behind an income
Many people have spouses, children, or other dependents that rely on you for an income. Your absence in the household may have a larger effect than you realize. It’s not just about an absence of money. Your spouse, for example, is suddenly left with a household to run alone. Extra money can pay for help around the house or taking care of the children while the family deals with grief and settles in to a changed lifestyle. When you suddenly aren’t there to provide for them it would cause obvious difficulties. A life insurance policy can secure their futures after you are gone and ensure they will be taken care of.
- Leave an inheritance
Maybe you don’t have much to leave behind for your children or other family members and you would like to plan ahead. Beyond needing to provide for your heirs, leaving behind an inheritance is a nice gesture.
- Cheaper while you’re young and healthy!
You may be thinking, “but I don’t have a family or any heirs yet.” This may be true now, but it’s important to be planning for your future. If you purchase life insurance while you are young, it can be substantially cheaper. It also gets much more difficult to get it if you develop health issues. So, buying your life insurance while you are young and still healthy may be the best option!
- Accumulate extra cash
If you choose to purchase cash-value life insurance, it can work as a sort of savings account and investment opportunity. A certain part of the premiums you pay will be invested and will accumulate an income. You can withdraw this money or borrow it as needed. After a while, the cash value can even pay off the cost of your premiums. However, these types of insurance have consequences and restrictions that should be considered before committing. For example, the cost of the premiums is much higher than if you were to choose term life insurance instead.
- Secure the Future of the Business
There are several serious benefits for those working in businesses. For example, business partners should both get life insurance so that in the case of one’s death, the other will be able to continue to run the business. The same goes for anyone that is essential for the smooth running of a business. A sudden death can leave a lot of loose ends and frantic colleagues.