Reassess Your Options This Life Insurance Awareness Month
Can you put a price on peace of mind? If you're a life insurance policyholder, chances are, you'd say yes. And if you're not, is it because you think life insurance is too expensive, an old-fashioned safeguard, or an unnecessary relic of a bygone era? Before you answer, ask yourself the following questions:
- Do you have a spouse or partner?
- Do you have children?
- Do you have aging parents or disabled relatives who depend on you for support?
- Does your household depend heavily on your income?
- Are your retirement savings or pension enough for your spouse or partner to live comfortably should you pass away?
- Do you own a business, either solely or with partners?
- Do you have a substantial joint financial obligation, such as a personal loan for which another person could be legally responsible after your death?
If you answered in the affirmative to any of these questions, you (or someone you know) may require life insurance! And if you already have it, but have experienced changes in your life since opening your policy, you may want to consider a review of your coverage, as it might need to be updated.
One of the biggest barriers preventing people from taking advantage of a life insurance policy is the notion that it's cost-prohibitive, simply too expensive to justify. According to a recent study by the non-profit insurance education group Life Happens, people think life insurance costs three times as much as it actually does. The reality is, a 20-year-term life policy with $500,000 in death benefits can cost less than $50 per month.
Assume that a preexisting condition or a less-than-perfect physique automatically eliminates your ability to get adequate coverage? That's not necessarily true. While one's overall health, habits, and other factors do affect the cost of insurance premiums, you may still be able to obtain coverage. There are a number of different policy types, and some companies are more lenient than others, especially if you are working with a doctor to get a health condition under control.
In March of 2021, Life Happens and LIMRA found that approximately 31% of consumers polled indicated that they were more likely to open a policy, with Millennials (45%) leading both Baby Boomers (15%) and Gen Xers (31%, perhaps indicating a shift in the misconceptions mentioned above.
September is Life Insurance Awareness Month. To learn more about the benefits that life insurance can offer you & your loved ones, please contact Rachel Kleven at (608) 835-1240 today.