Deciding on how much insurance to obtain largely depends on your budget, financial goals, quality of life you want for your beneficiaries and the needs of your dependents. ©2021 Coverage.com a Red Ventures Company All Rights Reserved. Like most parents you probably want to know your kids will be well … .hero { Allow your dependents to maintain their standard of living. Western & Southern is the marketing name for a group of diversified financial services businesses composed of Western & Southern Financial Group and its seven life insurance subsidiaries. We offer you dynamic career opportunities in numerous fields ranging from information technology, finance and accounting to business development and sales, investment management and marketing. Understanding life insurance and how much coverage you may need can help when making long-term financial plans. Policy obligations are the sole responsibility of the issuing insurance carrier. This is the primary purpose of life insurance. Discover how we can help you with personalized guidance and solutions tailored to your specific needs. Having enough life insurance is just as important The loss of a loved one is an emotional and traumatic experience for any family. 3 Very strong capacity to meet policyholder and contract obligations on a timely basis (third highest of 21 ratings; rating held since June 2009)  4 Excellent financial security (fourth highest of 21 ratings; rating held since February 2009) Coverage levels and premium amounts vary by insurer, so it’s recommended to shop around to find the best policy for you. left: 0%; Live a peaceful life and manage your risks that you can face in everyday life. Credit ratings are statements of opinions and are not statements of fact or recommendations to purchase, hold or sell securities. Peace of Mind. Please see a copy of your policy for the full terms, conditions and exclusions. Gerber Life is not rated by the other rating agencies. Increases in coverage are also subject to underwriting. } Certain types of debt don't go away when you die, which means your loved ones may have to use money from your estate or sell off other assets to cover them. In many cases, life insurance is relatively inexpensive and provides crucial protection for loved ones. bottom: 0%; THIRD-PARTY CONTENT PROVIDERS SHALL NOT BE LIABLE FOR ANY DIRECT, INDIRECT, INCIDENTAL, EXEMPLARY, COMPENSATORY, PUNITIVE, SPECIAL OR CONSEQUENTIAL DAMAGES, COSTS, EXPENSES, LEGAL FEES OR LOSSES (INCLUDING LOST INCOME OR PROFITS AND OPPORTUNITY COSTS OR LOSSES CAUSED BY NEGLIGENCE) IN CONNECTION WITH ANY USE OF THEIR CONTENT, INCLUDING RATINGS. Several online life insurance companies could be worth considering as well, including: There are several different types of life insurance coverage with varying costs and duration. With a universal life policy, you typically have the flexibility to adjust the premium and death benefit. Whatever life stage you’re in, we can help you evaluate your financial goals and learn more about family finances and money management to achieve your dreams. If you shop around and compare policies, you should be able to find something that meets your needs and fits into your budget. You have clicked a link to access information on an external website, so you will be leaving westernsouthern.com. The ratings shown here are correct as of September 2019. Funerals can be expensive. }, how much life insurance coverage you need, Estate planning: things to do before you die. The information is not intended to be, and should not be construed as, legal or tax advice. left: 0%; transform: scale(1); Loans will also accrue interest. Life Insurance Helps to Address Your Funeral Prices. MORE: What Does the Average Funeral Cost? Western & Southern is the parent company to a group of diversified financial services businesses. It’s best to pick a policy with a sufficient death benefit that fits into your budget. They can cost much more than that if a vault is required. Start by totaling the costs of your debt, your children’s future education and your funeral. Yes, the importance of life insurance extends to this age group as well. How Life Insurance Works Life insurance provides a large payment to beneficiaries when an insured person dies. While it may be uncomfortable to plan for it in advance, doing so can ensure a tragedy is not made more difficult than necessary. Planning your financial future, whether personally or for your business, involves many factors. Today, a large number of people do not have life insurance. Depending on your financial goals and needs, life insurance could be an important part of this plan. Most outstanding loans are not forgiven at the time of your death. Why a life insurance policy is an important asset for entrepreneurs? Products and services referenced in this website are provided through multiple companies. 5 The Comdex Ranking is a composite of all the ratings a company has received from the major rating agencies. If you have children, life insurance can help your family pay for future childcare and education expenses, especially for college. The same cannot be said for persons who have family members or other types of responsibilities. Coverage expires at the end of the term. margin-left: 0%; The Lafayette Life Insurance Company is not rated by Moody’s and has a Comdex Ranking of 95 out of 100. (function() { , To navigate this menu use the arrow keys, tab, escape, and spacebar. Let’s talk about life insurance — it’s never a “fun” conversation to have. 2 Very strong financial security characteristics (fourth highest of 21 ratings; rating held since August 2018)  Friday | 8 a.m. - 6 p.m. Laws of a specific state or laws relevant to a particular situation may affect the applicability, accuracy, or completeness of this information. el.parentNode.insertBefore(s, el); Ready to start your search for solutions? Why should I get life insurance? } .hero__headline { .hero__foreground { What about your funeral costs? Whether you're married with kids, or have a partner or other relatives who depend on you financially, having life insurance can be important. Insurance riders are add-ons, which implies additional benefits that an insured can select when buying life insurance. And it starts right here, right now, since you’re about to discover why life insurance is important. However, there must be enough cash value in the policy to cover monthly charges if a lower premium is paid than the amount selected at issue or if a premium payment is skipped. A number of industry experts and thought leaders weigh in on why life insurance is so important. .hero__foreground { Whether you have a 9-to-5, are self-employed, or own a small business, your income might cover a portion or even all of your family's daily needs. Your family could use some of the death benefit from your life insurance policy to help pay for these costs. Build Cash Value. For many of us, life insurance never crosses our mind until we go through some kind of life-changing event. It can help give your loved ones access to money when they need it. Universal life insurance. Because this site is independent, Western & Southern Financial Group neither manages nor assumes responsibility for its content. } Author: Neeraj Naval Published on: March 11, 2021 Published in: HNIs An entrepreneur undoubtedly spends most of their time preparing for their rewarding business meetings and elevator speeches; only a handful give equal importance to the concerned families. .hero { To avoid leaving your loved ones unprotected, you can purchase an individual policy on your own.”. The information provided is for educational purposes only. Pay off debts, such as your mortgage. A life insurance policy is a great way to ensure they’ll be financially provided for after you’re gone. Since you can choose your coverage level, you should make sure the death benefit is enough to cover any outstanding debts, provide for your children and spouse and pay for your burial expenses. It’s more important than financial planning because it guarantees financial planning in advance. The Company disclaims any liability arising out of your use of, or reliance on, the information. Some major auto and homeowners insurance providers, such as Nationwide and State Farm, offer life insurance policies as well. Sunday | Closed “It requires a plan and sufficient life Insurance to fund that plan…” • Last Updated 9/2/2020. There are many different types of life insurance and coverage levels to choose from. There are many kinds of insurance of which, the basic and most important is considered to be life insurance. Sparing family and dependents the burden of debts could prevent financial... 3. Ratings are subject to change from time to time. Most outstanding loans are not forgiven at the time of your death. All companies are members of Western & Southern Financial Group and are located in Cincinnati, OH with the exception of National Integrity, which is located in Greenwich, NY, and Gerber Life, which is located in White Plains, NY. Consult an attorney or tax advisor regarding your specific legal or tax situation. Any information on the Site does not in any way alter, supplement, or amend the terms, conditions, limitations or exclusions of the applicable insurance policy and is intended only as a brief summary of such insurance product. Western & Southern Financial Group does not provide tax or legal advice. Life insurance and annuity products may be issued by The Western and Southern Life Insurance Company, Western-Southern Life Assurance Company, Columbus Life Insurance Company, Integrity Life Insurance Company, The Lafayette Life Insurance Company, National Integrity Life Insurance Company or Gerber Life Insurance Company. HomeInsurance.com, LLC services are only available in states where it is licensed, and insurance coverage through HomeInsurance.com, LLC may not be available in all states. Life insurance is not sexy. If your death would cause a financial hardship for someone, you need a life policy to protect them.” Here are the reasons why life insurance is so important, and how the death benefit is typically used. Paying Off Debts. Information provided is general and educational in nature, and all products or services discussed may not be provided by Western & Southern Financial Group or its member companies (“the Company”). Here are 6 reasons why you should invest: 1. Life insurance is intended to protect your family financially in the event of your death. Life insurance provides money, or what's known as a death benefit, to your chosen beneficiary after you die. There is a lack of awareness about the fact that people are hesitant about life insurance in India. As you think about your financial future and current needs, consider the benefits our various products can offer. For more information, consider speaking with a financial representative. Depending on what state you live in, your credit card debt could be passed on to your spouse as well. Then add in the total of your lost wages and any other assets you want your family to have access to. In the case of my daughter, I purchased her a policy when she was 8 years old and am overfunding the premium at only $100 per month. } Please review the details of each product with your financial representative to determine which options may best fit your needs. The fact is thirty-something’s are not walking around thinking about life insurance. var s = document.createElement("script"), el = document.getElementsByTagName("script")[0]; s.async = true; s.src = "https://sb.scorecardresearch.com/cs/31824268/beacon.js"; If you’re married with children, life insurance can be... 2. It ranks insurers on a scale of 1 to 100 (where 1 is the lowest) in an effort to reduce confusion over ratings because each rating agency uses a different scale. margin-top: 0%; If whoever inherits … Monday - Thursday | 8 a.m. - 10 p.m. Housing, food, utilities, clothing, car maintenance and health care premiums are likely all part of your monthly budget, and even without your income, your family will still need to cover these expenses. Lack of … Life insurance is important, as it protects your family and lets you leave them a non-taxable amount at the time of death. margin-left: 0%; Life insurance has a special purpose, it is that this person donates financial security to his family from untimely death. This type of life insurance doesn't expire as long as you continue to pay the premiums. left: 0%; They do not address the suitability of securities or the suitability of securities for investment purposes, and should not be relied on as investment advice. Feel more confident about personal finance by exploring Western & Southern’s financial tools, educational articles and interactive calculators. bottom: 0%; With so many options, it can be challenging to navigate through all the decisions. Financial strength ratings apply to the individual member insurance companies affiliated with Western & Southern. ET Here are the reasons why life insurance is a good idea. But when you sit down with an expert who has your best interests in mind, you may find that life insurance is something you not only need, but truly want, as well — to protect your family, dependents, business and legacy. A death benefit can help ensure your spouse is provided for in their retirement years. Here are five important reasons why you need life insurance to provide financial security for your family: Financial Protection for Family and Loved Ones This type of life insurance offers coverage for a set period of time — generally 10, 15, 20 or 30 years. ET  Your family could be on solid financial footing now, but what if they lost your income? If whoever inherits your home can’t pay the mortgage without your income, they’ll need to sell it or face foreclosure. height: 290px; At a time when your loved ones are already dealing with your loss, life insurance can help ease some of the financial burdens they may experience after your passing. All insurance products are governed by the terms, conditions, limitations and exclusions set forth in the applicable insurance policy. Even if you have savings, it's unlikely that it would be enough to cover your family's expenses for several years or even decades if something happens to you unexpectedly. Gerber Life is rated only by A.M. Best. Pay off debts. Life insurance can be purchased from a traditional provider or online insurance company. HomeInsurance.com, LLC, is a licensed insurance producer resident in North Carolina with license number 1000012368, with its principal place of business at 15720 Brixham Hill Avenue, Suite 300, Charlotte, NC 28277. Estate taxes can be quite costly, especially if you have a substantial estate. Dealing With Life’s Uncertainties. Having a life insurance policy in place will make it easier for your loved ones to pay these taxes. “The beneficiaries of your life policy can spend the benefit any way they like, such as for college, debt, or everyday living expenses,” noted Adams. Military members and their families may qualify for military life insurance through USAA. Some life insurance providers don’t even require a physical medical exam, and can give you a quote in a matter of minutes. … Collectively, we provide you and your family with a broad range of life insurance, investments and retirement solutions. Not leveraging the benefits of a permanent life insurance policy due to its higher cost, though there are numerous benefits to this product in the long run. } @media only screen and (min-width: 40em) and (max-width: 64em) { Your individual life insurance follows you when you retire and you are no longer insured by your employer. Term life insurance, a type of life insurance, stays in place for a set period of time. It is also used to cover your mortgage and your personal loans, such as your car loan. This is where life insurance comes in. THIRD-PARTY CONTENT PROVIDERS GIVE NO EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE. bottom: 0%; Life insurance is meant to help protect your family's … margin-top: 0%; When considering your options, you may want to think about using a life insurance calculator to help you determine how much life you insurance you may need. And if you were planning to help your children pay for college (Sallie Mae found that about 44% of college costs are funded by parents), your spouse might have a hard time accomplishing that goal on their own, especially if you die before accumulating any college savings. The Company makes no warranties with regard to the information or results obtained by its use. Understanding life insurance can help you plan for your family's long-term financial needs. transform: scale(1); If you die unexpectedly, your family could be left with the burden of your debts and without the support of your income. To do this, the beneficiary of the policy could direct some of the death benefit to the funeral home, or they can pay out-of-pocket and use the death benefit as a reimbursement for these expenses. If you passed away, would your partner be able to … } Even if you've already started contributing to a 529 college savings plan, the death benefit from a life insurance policy can provide additional money to help cover your children's education if you were to die. Reasons Why Life Insurance is Important 1. .hero__foreground { Millions of Americans accumulate some level of debt throughout their life. A single person with few, if any, close relations can get by on a very little life insurance or perhaps no insurance at all. Once you’ve run the numbers, you’ll be able to assess approximately how much life insurance coverage you need. “So, make sure your policy is enough to cover their foreseeable financial needs.”. var _comscore = _comscore || []; _comscore.push({ c1: "2", c2: "31824268", cs_ucfr: "1"}); margin-top: 0%; “If you have the option to enroll in life insurance through a group policy at work, that can be convenient and affordable coverage. All insurance products advertised on Coverage.com (the “Site”) are underwritten by insurance carriers that have partnered with HomeInsurance.com, LLC. Life insurance doesn’t have to cost a fortune and can even be obtained online without a medical exam. This site is intended to provide a general overview of our products and services. However, most term life insurance policies also offer optional riders that could allow you to renew or convert your policy. The Company does not provide legal or tax advice. Life insurance is one of the few things we can buy in our lifetime that's exclusively for the benefit of the people we love most. Federal and state laws and regulations are complex and are subject to change. height: 350px; Reproduction and distribution of third-party content in any form is prohibited except with the prior written permission of the related third-party. Life insurance can help with the financial impact of death, but people often don’t understand how it works and how much it costs. In its simplest form, life insurance is important if someone depends on your support (either financial or work/support they provide the family) and if you were to pass away, they would need the financial means provided to continue in their current lifestyle. This figure also doesn’t include cemetery costs or ceremony preparations. It’s not fun to talk about and it’s definitely not a process anyone enjoys. It’s also possible to get life insurance through a workplace group policy, but you may want to supplement that benefit with your own policy, according to Adams. height: 360px; If you die unexpectedly, the last thing your grieving loved ones should have to worry about is affording your burial. } .hero__headline { ET HomeInsurance.com, LLC may receive compensation from an insurer or other intermediary in connection with your engagement with the website and/or the sale of insurance to you. It Can Help to Financially Protect Your Family. Secure … Holidays | Closed. Let’s get started… Insurance is designed to protect a person and the family from disasters and financial burdens. You also can borrow from the cash value, but loans or withdrawals may generate an income tax liability, reduce the cash value and death benefit and cause the policy to lapse. Life insurance cuts swathes through all these problems and comprehensively provides monetary protection for people from all walks of life. Please contact your tax or legal advisor regarding your situation. Used under license from Société des Produits Nestlé S.A. and Gerber Products Company. } Why Life Insurance is Important. MORE: How Life Insurance Helps Protect a Mortgage. This could leave less money to pay for expenses. A life insurance policy is also helpful because … 1 Six out of seven of Western & Southern Financial Group’s life insurance subsidiaries maintain a rating of A+ Superior ability to meet ongoing insurance obligations (second highest of 13 ratings; rating held since June 2009). Each company has financial responsibility only for its own products and services, and is not responsible for the products and services provided by the other companies. Taking out a mortgage... 2. If you have a spouse or dependents, you should purchase a life insurance policy. Western & Southern’s family of companies spans the full gamut of expertise within the financial services industry. Here are five reasons why life insurance is important. The same is true for a vehicle that hasn’t been paid off; if you leave the car to your spouse and they can’t afford the payments, the lender can repossess the vehicle. © 2017-21 Western & Southern Financial Group, Inc. WS20200819113106 You may want to purchase a business life insurance policy as well, often referred to as key person insurance. Life insurance can help your loved ones pay for any debt you leave behind, including credit card debt, business debt, personal and/or educational loans and mortgage debt. Typically, there are three types of life insurance to consider: term life, whole life or universal life. Making plans to support your family's financial stability in the event that you pass could help to mitigate the stress and burden of an already difficult time. Finally, a life insurance policy provides your loved ones with money to cover the cost of estate taxes. To Add More Financial Security. by Joe Bachmeier - Medicare Agent ... As a life insurance agent, I did the same exact planning for me, my wife and my daughter. Additional premium payments may need to be made to keep the policy in force. .hero { margin-left: 0%; “This coverage is critical in situations where you have dependents, such as a spouse, partner, or children, who financially depend on you. Gerber Life maintains a rating of A Excellent ability to meet ongoing insurance obligations (third highest of 13 ratings; held since January 2019). If you don’t want to leave your family with unaffordable bills, having a life insurance policy in place is a good way to compensate. Your spouse may have their own retirement account, but if you were the primary breadwinner, their personal nest egg may not be enough to retire comfortably. By browsing our website, you agree to the use of cookies and agree to our. })(); @media only screen and (min-width: 64em) { When it comes to a funeral with a viewing and burial, the national median cost comes in at $7,640. Your death could also leave your spouse with insufficient income to afford things like childcare, even if they are gainfully employed. Within each type, you can also choose different levels of coverage. Third-party content providers do not guarantee the accuracy, completeness, timeliness or availability of any information, including ratings, and are not responsible for any errors or omissions (negligent or otherwise), regardless of the cause, or for the results obtained from the use of such content. … If the operations of your business will fall apart without you, naming your company as a beneficiary can help your business stay afloat while your surviving partners look for a replacement. The following types of policies are most common: If you don’t purchase sufficient coverage, your family could be on the hook for your loans and other expenses. It is the ultimate character product. If you pass away, life insurance can help to provide much needed financial support to your loved ones, who might otherwise have to shoulder the cost of your funeral, medical expenses, debt, or other bills. This may contain information obtained from third-parties, including ratings from credit ratings agencies such as Standard & Poor’s.