Who Needs a Life Insurance Policy?

Who doesn't need a life insurance policy might be an easier question. Death is part of the natural life cycle, and any person can die at any age on any given day. It can seem like a daunting task to review options and make a decision. But some people probably need life insurance more than others, and understanding the reasons behind needing a policy can make it easier to choose the right insurance for you and your family.

How we determine whether or not we need a life insurance policy, could depend on many things. From budget to risk and who depends on us, there are many things to consider as we weigh when's the right time to get a life insurance policy. If you aren't sure if you need one now, read on.

What's the point?

Young people in good shape with no dependents might be wondering why life insurance is something to think about at all. Some may even say, "If something happens, I'll be dead, anyway." While they won't be all that worried about viatical settlement options or who will get a lump sum check if they are in a tragic accident, it's still something to learn about now. Why? Because getting a policy when you're in better health is cheaper if you sign up for a plan with fixed rates you can carry into the future. Life moves faster than we often realize. The longer you wait and the worse your health, the bigger liability you are. In short, later in life, your rates go up. 

For those who have kids or are married, the reason to get a life insurance policy may be more obvious. The right policy will come not only with a death benefit and expense coverage but could also cover things like your kids' education should you die before they're out of school.

Maybe you have a chronic illness or even a terminal illness. For you, life insurance is even more important. You'll do yourself and your family members a favor by calling an agent now to find out your coverage options, learn about guarantees, and how much life insurance is right for you based on your situation. For those with a shorter life expectancy who already have coverage, it will be good to find out more about any viatical settlement company coverage you currently have, as this could start paying off now. Adults with a terminal illness might also want to consider selling their life insurance policy for cash, in order to pay medical bills and other health expenses.

How do I sign up, and what do I ask?

It's easy enough to get a general life insurance quote online or by phone, no matter your age. This might be the best way to find out if now's the time to sign up. Based on your budget, health history, and risk factors, talking to a licensed agent might help you make your decision. Ask about term policies, applicable fees, and the best rates for the coverage level you need. You'll also want to ask about future premiums and how your coverage will impact your spouse. Be sure to determine if your policy would cover a lump sum cash payout and whether or not the policy is face value. Before you make the call, be sure to have your personal information and medical records on hand so that you can work with an agent on a policy that will take the financial burden of your passing off your family, too.

In the end, everyone needs life insurance. This means your loved ones won't have to worry about your funeral expenses, and you can rest in peace knowing people you care about getting a death benefit to pad their grief. There are not many things that make dying easier, but doing your homework and comparing policies is the best way to ensure you and your loved ones are covered when that time comes.