Make Money Online with Honeygain! - Download this free software for your Windows computer, Android or iOS phone and get paid to share your internet connection! Download, turn it on and earn!

How Much Life Insurance Do You Really Need?

Posted by Ritikashah11998 on July 27th, 2016

Not so long ago, professionals recommended that families carry a life insurance policy with a death benefit of 10 times their annual household income. Today, however, in light of rising house prices in many parts of the country, spiraling college costs and low interest rates most advisors now recommend up to 20 times your household income.

Unfortunately, most American families are underinsured. The gap between what households have and what they need is nearly 0,000, according to LIMRA’s study closing the Life Insurance Gap, 2015.

If you’d like to get a working idea of how much life insurance you may need (or how much more you may need), you can use our quick Life Insurance Needs Calculator.

A Cornerstone of Your Financial Plan

Life insurance is a cornerstone of your financial plan, for these reasons.

1. It provides income replacement. For most people, their most valuable economic asset is their ability to earn a living. If you have dependents, then you need to consider what would happen to them if they could no longer rely on your income. A life insurance policy can also help supplement retirement income, which can be especially useful if the benefits of your surviving spouse or domestic partner will be reduced after your death.

2. It covers outstanding debts and long-term obligations. Without life insurance, your loved ones must shoulder burial costs, credit card debts, and medical expenses not covered by health insurance using out-of-pocket funds. The policy’s death benefit might also be used to pay off a mortgage, supplement retirement savings, or fund college tuition.

3. It can be used for estate planning. The proceeds of a life insurance policy can be earmarked to pay estate taxes so that your heirs will not have to liquidate other assets to do so.

4. You can use it to support a charity of your choice. If you have a favorite charity, you can designate some or all of the proceeds from your life insurance to go to this organization.

Remember an agent or advisor can help you figure out your life insurance Policy needs and find something that works within your budget.

Source: http://www.pr3-articles.com/Free_Article_Directory_Submission_Site_Articles/how-much-life-insurance-do-you-really-need

Also See: Life Insurance, Much Life, Insurance Policy, Term Insurance, Life, Insurance, Income

Become a Money-Making Life Coach
Learn how to become a money-making life coach from home using an internationally recognized certification program.
CryptoTab Browser - Easy way for Bitcoin Mining | CryptoTab Browser
CryptoTab Browser is the world's first web browser with built-in mining features. Familiar Chrome user interface is perfectly combined with extremely fast mining speed. Mine and browse at the same time!

Quality Office Furniture USA Shipped Direct - Madison Liquidators
Nationwide vendor of quality office furnishings including Desks, Office Chairs, Conference Tables, Cubicles and more!

FREE App - Earn up to 25/gal cash back on gas!
Download this FREE app and earn cash-back when you buy gas, groceries and food! 100% FREE to join and FREE to earn cash back on your everyday purchases!

Advertise Here