In simplest terms, life insurance provides coverage in the event of your death – ensuring that your family continues to have financial protection even when you are gone. The simplest perspective of life insurance is to look at the stage of your life and your financial means. Different types of insurance suit different life stages, needs, and financial abilities. The availability of various types of life insurance policies makes it easier to find one that is most applicable to your situation.
SINGLE
At this stage, because you do not have dependents, there will be no one who misses your income when you pass away. While insurance may not be a necessity to protect your family finances, it should be considered. At a younger age, the rates will be more affordable.
MARRIED
A small amount of life insurance is recommended at this stage - even though there are not yet children present, in the event of your death, the death payment of a policy would pay for mortgage/rent payments, credit card debts and funeral costs.
MARRIED WITH CHILDREN
Life insurance is critical once children are present because your family would be greatly impacted by the loss of your income.
RETIREMENT
At this point, your children no longer rely on your income and you are likely living off of your retirement funds. While not as much life insurance is necessary for this stage as compared to earlier in your life, it is still a consideration to cover funeral expenses and debts, as well as to supplement your surviving spouse's retirement money.
Visit the Types of Life Insurance page for a listing of all available types and links to more information about each. Additionally, you can visit the other topics in Life Insurance Basics, including rate information, uses of life insurance, and discussions about the policy and company ratings.
If you're ready for a life insurance quote, request a free life insurance quote now. You'll see how affordable life insurance can be.
