Before you go looking for life insurance coverage , ask yourself a fundamental question: do you really need life insurance coverage? Not everyone does. If you have nobody who is financially dependent on you or who would be financially worse off when you die, you probably don’t need a life insurance policy. If you do have dependents, but you’re rolling in liquid assets that your dependents could easily access to cover their living expenses along with the bills and obligations you leave behind, you probably don’t need a life insurance policy, either. But if you fall somewhere between those two extremes, having adequate life insurance coverage is a prudent and loving thing to do. Here’s why.
Are you the sole wage earner in your family? Suppose you died tomorrow. Would your surviving spouse be able to maintain the same lifestyle? Would your children still be able to go to college? If the answer is no, you need to start looking for affordable life insurance options with enough coverage to provide for your family.
Are you the passionate supporter of a charitable cause? Name the charity as your life insurance policy beneficiary and you can continue to support its good works after death.
Do you have a beloved pet? Money from your life insurance policy can make certain your companion animal is cared for.
Do others depend on you for free services that they would need to pay for if you die? If you have adequate life insurance coverage, your surviving spouse won’t have to hire a housekeeper to care for the kids. Or perhaps you have elderly or ill parents who look to you to take care of household chores or for financial help with their monthly expenses. Take out a life insurance policy with enough coverage to ensure those needs would be paid for if you’re not around.
Take a thoughtful look at who depends on you, what they depend on you for and the precise amount of financial hardship your death would cause. Those are the first steps to determining how much life insurance you need and what kind of life insurance you should get. Then you can start looking for the most affordable life insurance quotes for your specific circumstances.