The concept of life insurance can be very complex for many Americans to understand. The truth is that not all Americans need to have life insurance. According to insurance gurus at McClatchy-Tribune Information Services, the general rule is that you only need it if you are directly responsible for any dependents.
Life insurance is designed to protect the average working family, in case of the sudden death of a loved one. It’s meant to replace your “value” so your family won’t be left financially unstable once you’re gone. For any working parent, a big part of your value comes directly from your steady salary. With the proper insurance plan, your family will receive enough money to compensate your salary on average for ten to twelve years.
Having a durable life insurance plan will rid you of any “what if” questions you may have regarding the possibility of your family one day having to live without you.
The most sought after type of life insurance is known as “term life insurance”. Term insurance policies are set to cover the insured person for a predetermined amount of years, generally anywhere from one to 30 years. For the average young, health family, term life insurance is the best option, because it tends to be the least expensive.
Another type of life insurance that many purchase is permanent life insurance. Permanent life insurance, just as the name implies, will cover you from the day you buy it up until the day you die, regardless of the cause or time of your death.
The main difference between term and permanent life insurance is that permanent policies tend to come with a cash value component. What this means, is that your insurance company will continuously invest part of your premium payments to build up cash values in your account. You will not be taxed on any investment earnings, until you cash in on your policy.
In terms of price, the cheapest, most affordable policies will always go to those who are in good health and have a family history that is free of major health issues, as well. If you are taking some type of heart medication or have been diagnosed as obese, you may pay more than those who are in good health.
Your best bet for purchasing a life insurance policy would be to get begin shopping for one early in life when you are still in good health and young. If you are looking for an insurance broker with access to 30 plus companies like The Hartford, MetLife, ING, Lincoln Benefit Life, Pacific Life, AXA Equitable, American General, Ohio National, West Coast Life that will provide you with instant quotes and friendly customer-service, visit ASJ Insurance & Financial Services Inc.’s website www.asjtermlifeinsurance.com or give them a call today at (602) 212-1048 or (877) 275-2201 to talk to an experienced agent who could help you decide what’s the right plan that would fit your need and budget.