Life Insurance is a topic that not everyone wants to discuss, as it can be a reminder that one day we will leave our loved ones. But life insurance has many benefits; it looks after our family once we are gone, gives us peace of mind and much more. This type of insurance policy pays out a tax-free sum of money to your loved ones if you pass away during the term of the policy. The amount of money depends on which policy you purchased. There are four types of life insurance: term life, universal life, whole life and variable life. This article is going to discuss the top benefits of investing in life insurance.
1. Peace of Mind
The majority of people who purchase life insurance do so to provide financial security for their families. Depending on the size of the policy purchased, the insurance company will provide your salary to your family when you have passed. This money can be used to cover basic living expenses, pay off debt, or send your children to college! A death in any family is difficult enough without the added expenses, which is why nearly 1 in 2 US citizens have life insurance.
2. It is Tax-Free Money
With the cost of living slowly increasing all over the world, every penny counts! When an insurance agency pays out for life insurance, this money is completely tax-free! 100% of that money will go to your family and children to help them through their foreseeable future. After all, the taxman gets enough of our money!
3. Funeral Expenses are covered
The average cost of a funeral in the USA ranges from $7,000 to $12,000. This is a huge sum of money for anyone to try and gather in such a short space of time. With the reliability of a life insurance policy, this money can be used to cover funeral expenses, the services of a headstone company in West Chester Oh and leave your family with one less thing to worry about.
4. Riders can be added to a Policy
A rider is an extension of your insurance policy that can be added on at any time for an additional fee. An example of a rider for life insurance is disability cover. This endorsement ensures that if the buyer suffers a partial or complete disability caused by an accident or health issue such as a stroke, they will receive a lump sum of money. This sum of money is to help adjust to a new way of life and to provide for the person’s family.
Life insurance is one of those things in life that you don’t want to regret not investing in. With the cost of living being so high at the moment, people may be hesitant to purchase a new insurance policy, but the advantages outweigh the disadvantages by a mile. Find yourself a trustworthy insurance agency to discuss benefits and costs with, so that in difficult times, there is a silver lining!