Home Much Life Insurance Do I Need?
[social_share]Life insurance has become a very important factor in families lives, because fatal accidents can happen any second of the day, and if you dont have any insurance protection, that will be a huge burden to your family. Life insurance is not mandatory, but it is strongly recommended for everyone in the family, besides there are numerous benefits when having life insurance protection. There is a variety of aspects that life insurance can cover, and if anyone in the family passes away, you are assured that you will not be responsible for the unexpected expenses that the death caused.
What are the different kinds of life insurance?
Mortgage life insurance is one of the most famous protections that life insurance can offer. If you are a homeowner, you are entitled to acquire this kind of protection if you are one of the two people whose name is in the mortgage loan. In the event that something ever happened to either parties, the mortgage balance that was left in the loan will then have to be paid in full by the mortgage life insurance protection. For example, a husband and wifes name is on the loan and both of them past away, then the children that they left behind will have absolutely nothing to worry about, because life insurance protection will cover the burial costs that have occurred in the event of their parents death.
What are the benefits of life insurance?
The great thing about life insurance is that you are not wasting your money paying for the premium, because almost part of the premium payment will go into a savings account, that earned a tremendous amount of interest throughout the years. If nothing ever happens within the life of your policy, all of the premium paid, plus any accrude interest will be completely refunded to the insured. For instance, if you purchased a twenty year term life insurance and you out lived the term, whatever premium that you paid back then, will be automatically returned to you.
Where can I find affordable life insurance?
All major insurance companies are offering affordable life insurance based on your age, and health status. For example, if you are 50 years old and is perfectly healthy without any illnesses, you are entitled to receive the lowest monthly premium, and the coverage will still be at least be one hundred thousand dollars or more. If you are 60 years old and is not in good condition, then your monthly premium will be a lot higher.
Life insurance premium.
The premium is based on many factors and criteria of the applicant. Your age, sex, health conditions, like pre existing illnesses and territorial factors. Many of the premium derrives on the result of the actual medical exams that an applicant has to apply for in order to receive life insurance. If your health is not as great as other people, even if you are the same age, your premium might be a lot higher than the other applicant. If you have a pre exsiting illness, you might not be able to get approved by any underwritter from the insurance company due to that reason.
What does life insurance cover?
Life insurance covers basically the life of the insured. For example, a husband and wife purchases life insurance protection, and one of the parties dies, whoever is the beneficiary will be the one to receieve whatever the full amount of coverage that was purchased before the death. If both parties die from old age, whoever the beneficiary that was listed on the policy will be the one to receive the insurance coverage plus all of the outstanding premium that was paid by the insured, plus interest. If the husband and wife are only listed as beneficiaries and did not list their children as their beneficiary, then the children will not receive any insurance money from the company, but they could be able to request all of the paid premiums to be refunded to them.
What doesnt life insurance cover?
In the event of any accident and not death had occurred, the medical bills will not be paid by the life insurance company. For instance, a family member that has life insurance and is involved in a car accident, but he survives, the life insurance company will not be responsible for any of the hosptial bills tha the accident caused. So if you are interested in purchasing life insurance, you should contact your local life insurance agent nearest to you and make sure to check with your local Department of Insurance for the lists of all of the registered and licensed brokers, just to avoid getting scammed by unlicensed insurance agents. Many scammers will just collect your monthly premium, and if anything actually happens they will not be able to cover any costs.
