Here are some of the reasons why you need a life insurance. There are many reasons and these really depend on the individual and family’s needs. However, we tried to summarize some important ones.
1. Because you love your family, and you want to protect them
If you remove yourself from the picture right now, yes right this moment, how would you family live? All of a sudden the income you were bringing in stops, and they have to spend money on taking care of your costs related to your death. How is this going to be covered?
2. Inheritance
Why not leave a little something for your children or grandchildren to build on. You can name them as beneficiaries, and you can provide them a little bit of a head start compared to other people of the same age. Do you really want them to go through the struggles that you went through?
3. It costs more for them to live without you
You were handling many things for your family. Not just financially, but you were taking care of many household tasks, like cleaning, cooking, taking care of children, laundry, taking out the trash, etc. Your family may be able to handle all these new tasks, but they may not be able to. Funds from the insurance proceed could alleviate some of these needs.
3. GOOD – get out of debt
How about taking care of any debt. If you and your family had any mortgage left on your house, it could be used towards that. How about the car you were driving? Does it have any loan on it? It should cover that too. Many expenses often came with some debt. It provides your family a great relief when that burden is lifted.
4. Peace of Mind
How about that intangible that you provide for your family? I don’t think this one will need further explaining. You know that feeling of my mom, my dad is taking care of me even after they passed, that provides tremendous comfort for the family.
5. Funeral expenses are getting higher and higher
How much does a funeral cost? There is more to it than just renting out space. Food, casket, burial, cremation, there are many services that have to go through, and it’s often upwards of $10,000 Yes, you saw that right. It costs as much, sometimes even more than a big wedding. Think about it. Doesn’t about the same number of people come to the funeral as a wedding? If you are an accomplished person, maybe even more.
6. Why not do something for yourself
A Certain type of life insurance – whole life insurance or universal life insurance can help with your retirement. You should talk to your insurance advisor on this, but you can use this as a savings/investment hybrid product that has some possible tax benefit.
If you want to learn more about whole life insurance Mililani click the link. If you want to learn more about universal life insurance Mililani click the link.
Of about whole life insurance in general and universal life insurance in general.
7. Charity
If you are supporting a charity, and you want that legacy to carry on, you can designate that charity as a beneficiary. There is some special process you can set up where they can get an income stream so that the cause you were working for and building up can continue.