|
Home > Learning
How much life insurance do I need?
Life insurance is protection against financial loss resulting from death. It is an insurance company's promise to pay your beneficiary a specific amount of money when you die in exchange for timely payment of premiums.
The appropriate amount of life insurance varies from person to person, depending upon your individual needs and your family's lifestyle. To determine how much coverage you need, multiply your annual income by five or tally the assets that will pass to your heirs, such as Social Security, savings, real estate, and other benefits. The best way to establish a precise and adequate amount for life insurance coverage is to consult with your insurance representative.
What kind of life insurance should I buy?
If you have long-term needs - for example, if you require life-long protection for premature death, retirement income or cash to settle your estate - then you should consider cash value insurance. Likewise, if you need protection for a specified period of time, perhaps to pay off a loan or mortgage in the event of your death, term insurance may be the right choice for you. Apply now to get a free quote on term life insurance at affordable rates.
Disclaimer: The above provided information is for general guidance only. It is not intended as, nor should it be taken to be, legal, financial or other professional advice for your situation.
|
