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| Do You Need Life Insurance Yet? |
Life insurance sounds like one of those big adult phrases you use only when you get older and start thinking about the inevitable end. In fact, that is probably not too far off the mark. Life insurance should be purchased by people who have income that others depend on. To understand how life insurance works and whether you need to purchase it, read the rest of this article.
Taking out an insurance policy on your life (my, that just sounds ominous) is something that you must consider if you have anyone depending on your income, like children or an elderly parent. If you have just started your family or are thinking about getting started soon, start looking into the kinds of rates you can get on your policy now. You will be much more likely to get a great rate right now, while you are still younger.
If you already have children, it is imperative that you take out a policy on yourself right now. Whether you are a stay at home mom/dad, or you both work in an office, you both need to purchase coverage for yourselves. You may not have considered purchasing coverage for a stay at home parent, but the fact of the matter is that you will need to cover the costs of someone doing the chores around the house and whatever else your stay at home spouse does.
Consider your current situation. Are you married but do not plan on having children now, or maybe even ever? If this is the case for you, then sit down with your spouse and talk about the incomes you both bring in. If one of you were to pass away suddenly, would the other be comfortable living on their paycheck only? This is important, because if you are not able to maintain your living expenses on one paycheck, then you really need to think about taking out a life insurance policy for each of you.
The bachelors and bachelorettes of the world can decide whether they feel this type of insurance coverage is important based on the following things. If they were to pass away suddenly, would there be enough money to their name to cover funeral costs? If so, they do not need to be concerned with purchasing a life insurance policy. Do they currently take care of an elderly parent or ill sibling who depends on their income? If so, they would definitely want to take out an insurance policy on themselves so that these dependents would be able to have their lives taken care of.
Speaking of the elderly, there should not be a need to take out a policy on an elderly person unless they are unable to cover the costs of a funeral if they were to pass away in the near future. Unfortunately, if you wait until you are practically nursing home bound, your policy will cost you dearly. This is why it is much better to take care of insurance costs early on, and try to get the best rates you can when it comes to this type of coverage.