Have you secured your family’s future? In the event that you or a member of your family were to pass, guaranteeing their financial well-being becomes essential.

But what is life insurance and how do you choose the right fit for you and your family? After all, there are so many different types of policies for people in different stages of life. Join us as we uncover how life insurance acts as a safety net in financial planning.

Keep reading to answer the question ‘what is life insurance’ and how to select the right type, or contact DeverCare now for immediate assistance in securing your family’s future.

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Who Needs Life Insurance?

 

What is life insurance? In simple terms, life insurance is a financial product intended to provide a lump sum cash payment when the insured passes away to help tide over financial challenges. It also serves to cover any outstanding debts or fees that may be owed. Life insurance is a crucial financial tool for individuals with diverse responsibilities. Let’s explore a few key groups who need life insurance:

• Parents & Breadwinners: Parents and breadwinners may need life insurance to ensure their dependents are financially supported in their passing. Life insurance can help replace lost income, cover childcare expenses, and aid in children’s financial needs for future education.
• Newlyweds & Couples: Life insurance for couples and newlyweds can provide peace of mind knowing the surviving spouse can maintain their standard of living, as well as cover shared debts or mortgage payments.
• Homeowners with Mortgages: After a loved one’s passing, life insurance for homeowners with mortgage payments can financially assist the ones who remain in the home and help prevent the risk of foreclosure.
• Business Owners & Partners: If you own a business, you may need life insurance to protect and ensure its continuity in the event of your passing. It can help cover business debts, facilitate business succession planning, and provide funds to buy out a deceased partner’s share, safeguarding the future of the business and its stakeholders.
• Elderly Individuals Planning for Final Expenses: As you grow older in age, you may need a senior life insurance policy to cover funeral costs, medical bills, and other end-of-life expenses so that potential financial burdens don’t fall on your family or loved ones after your passing.

Furthermore, experts echo that the younger you are, the greater benefits you can reap. One of the reasons being that younger people can qualify for lower premiums. The general understanding is that the older you are, the more likely it is that you could develop health complications that could make your insurance more expensive.

Ultimately, life insurance is a versatile tool that can benefit anyone looking to protect their loved ones and assets from financial hardship after their passing.

 

How to Choose a Life Insurance Plan in 5 Steps

Once you have a better understanding of what life insurance is and who needs life insurance, it’s time to start planning out how to choose a life insurance plan. Here are five steps to help you choose a life insurance policy:

1. Assess Your Needs: Before choosing a life insurance plan consider factors such as your financial obligations, including mortgage payments, outstanding debts, education expenses for dependents, and the standard of living you wish to maintain for your family in the event of your passing.
2. Review Different Policies: Familiarize yourself with different types of life insurance policies, such as term life insurance, whole life insurance, and universal life insurance, to understand their features, benefits, and limitations.
3. Compare Premiums & Costs: Get quotes from different insurance providers to compare premiums for the same coverage amount and duration. Additionally, consider any added fees or charges associated with the plan, such as policy fees or administrative charges, when evaluating the total cost.
4. Seek Professional Advice: Before choosing a life insurance policy, seek advice from an insurance agency, such as DeverCare, who can provide personalized recommendations. An insurance agent can help navigate the complexities of life insurance and assist you in finding a plan that meets your goals and needs.
5. Reevaluate as Needed: Regularly reevaluate your insurance coverage as your needs change. Life events such as marriage, the birth of a child, purchasing a home, or changing jobs may warrant adjusting your coverage amount or policy type. Stay proactive in reassessing your life insurance policy to ensure it continues to meet your evolving needs.

Lastly, before committing to a provider, check if the company offers options that are important to you. While pricing is important, it should not be the only criterion for signing with the service provider. Your life insurance policy should reflect your income, expenses, savings, and life stage.

Then, try gathering information from multiple online and offline sources about the provider to help you understand how the group manages claims, the period taken to settle the claims, and how the paperwork is handled. After all, if your policy needs to be paid out, you’ll want to ensure your loved ones have a painless process amid their grief.

With a full grasp of what life insurance is, who needs life insurance, and how to choose a life insurance plan, you can confidently safeguard you and your loved ones’ financial future.

 

Find the Right Type of Life Insurance for You with DeverCare

While our primary focus at DeverCare is Medicare, we also take a holistic approach to our clients’ financial needs by providing life insurance solutions.

If you’re unsure about the type of life insurance that’s right for you, get in touch with our team at DeverCare. Our licensed experts will help you find a plan that best suits you by taking the time to understand your needs, providing personalized recommendations, and guiding you through the entire process with expertise and care.

Contact us for more information on how we can help you today!