"Life Insurance" - Many of us buy life insurance because we want to make sure our loved ones, especially by being financially secure after death. Income replacement is the main reason people buy life insurance.
doctors also have not won a major - the economic value that should be covered by life insurance - and often overlooked.
Life insurance is also purchased by those interested in achieving specific business objectives or transfer of real estate.
There are many types of life insurance policies according to their objectives, and there are huge differences in prices between different companies offering identical coverage. Policies are available in hundreds of life insurance companies in the United States. Most financial planners recommend that each wage earner in the family carry at least 10 times their annual income in life insurance.
Here is a neat way to go about buying life insurance :
Life insurance is a long-term proposition, so should pay special attention at the time of purchase and throughout the life of the policy, financial stability ratings of your life insurance company. Ratings indicate a company's ability to pay claims.
Assessing your life insurance needs
The first step in the life insurance planning is to analyze your life insurance needs - ie, the economic needs of dependents left behind. An excellent way to determine your coverage needs is to use an online calculator such as Insure.com s' Life Insurance Needs Estimator Tool.
Because the life insurance needs change over time, the amount of life insurance should be reassessed periodically. We recommend a review at least once every five years or when a major life event such as a change in income or assets, marriage, divorce, birth or adoption of a child, or a major purchase such as a home or business.
In theory, you should have a decreased need for life insurance with age because fewer people remain dependent on you for income support. Exceptions would be the protection of a business entity or paying taxes on a large estate for the heirs. If the purpose of buying life insurance is to pay estate taxes, then you need a permanent life insurance, which is in force, the time to live and pay premiums.
doctors also have not won a major - the economic value that should be covered by life insurance - and often overlooked.
Life insurance is also purchased by those interested in achieving specific business objectives or transfer of real estate.
There are many types of life insurance policies according to their objectives, and there are huge differences in prices between different companies offering identical coverage. Policies are available in hundreds of life insurance companies in the United States. Most financial planners recommend that each wage earner in the family carry at least 10 times their annual income in life insurance.
Here is a neat way to go about buying life insurance :
- To assess the required amount of life insurance ..
- Decide on the kinds of policies best suited to their goals.
- Choose the companies is possible by setting high standards for the degree of financial stability.
- in the store to find the best price.
- Find ways to get life insurance rate best.
Life insurance is a long-term proposition, so should pay special attention at the time of purchase and throughout the life of the policy, financial stability ratings of your life insurance company. Ratings indicate a company's ability to pay claims.
Assessing your life insurance needs
The first step in the life insurance planning is to analyze your life insurance needs - ie, the economic needs of dependents left behind. An excellent way to determine your coverage needs is to use an online calculator such as Insure.com s' Life Insurance Needs Estimator Tool.
- Before buying life insurance, consider your financial situation and standard of living you want to maintain for your dependents or survivors. For example, who will be responsible for final medical bills and funeral expenses? Does your family have to move or change their standard of living after losing their income? The assumption of immediate death is necessary to determine the current life insurance needs of a family or individual.
- Add to the long-term financial needs of the remaining family members, such as children's expenses, income for the surviving spouse, mortgage and other debt payments, college education funds and an additional emergency fund .
Because the life insurance needs change over time, the amount of life insurance should be reassessed periodically. We recommend a review at least once every five years or when a major life event such as a change in income or assets, marriage, divorce, birth or adoption of a child, or a major purchase such as a home or business.
In theory, you should have a decreased need for life insurance with age because fewer people remain dependent on you for income support. Exceptions would be the protection of a business entity or paying taxes on a large estate for the heirs. If the purpose of buying life insurance is to pay estate taxes, then you need a permanent life insurance, which is in force, the time to live and pay premiums.
