What Type of Life Insurance Do I Need?
Here, we explain the two most common types of life insurance so you can make an informed decision on which option is right for you.
When & Why Do You Need Life Insurance?
We’ll help you find the answers, no matter where you are in life – watch to learn more. Then, get started by exploring which life insurance option is best for you.
We understand that life insurance can seem complicated, and we want to help make it easier. Here, you’ll find answers to our most frequently asked questions.
What Is Life Insurance and How Does It Work?
What Is Life Insurance?
Life insurance is a contract between you and the insurance company where you pay a rate to the insurance company who then promises to pay an agreed-upon amount to the person (beneficiary or beneficiaries) of your choosing should you pass away. It is there to give you added peace of mind and help protect the people most important to you.
How Does Life Insurance Work?
After purchasing a policy that covers you and your family’s needs, you will make a premium payment throughout your life or for a term length. If you pass away, your beneficiary will file a claim with your insurance company. Once all of the information is verified, your policy’s death benefit will be paid out to the beneficiary.
Why Should I Have It?
Life insurance is a great way to help protect those who matter most to you. Should you pass away unexpectedly, your family may not be able to pay for things like funeral costs, medical bills, mortgage payments, or existing debts. With life insurance, you can help ease financial burdens for those you love.
How Much Life Insurance Do I Need?
How Much Life Insurance Is Right For Me?
Deciding how much life insurance coverage you need starts with one simple question: What would life be like financially for those you care about if you were to pass away?
While it may be difficult to think about the answer to this question, it’s important to make a list of all of your needs and bills – the ones you have today and the ones you will have down the road. With too little coverage, your family might not receive all the financial protection you would like them to have.
What Next?
Give our Needs Calculator a try to get a better picture of how much life insurance coverage would be ideal for you and your family.
What Kind Of Life Insurance Do I Need?
What Is Term Life Insurance?
Term coverage can be a great way to help cover big expenses—like a mortgage or college tuition. This coverage is designed to last a specific period of time, or “term” —usually the years when you need coverage most.
What Is Whole Life Insurance?
Whole life is designed to last a lifetime with premiums that never change. Your policy can also accumulate cash value that you can borrow against.
What Is Universal Life Insurance?
Universal life insurance is highly customizable, and can provide a lifetime of coverage with flexible premiums and benefits to help meet your specific needs. Your policy can build cash value to help pay for expenses during retirement and more.
When Should I Get Coverage?
What Do You Need To Cover Now?
A life insurance policy could help cover your family’s day-to-day activities and living costs, as well as any debts — like your student loans — that you don’t want to pass on to your parents or your spouse.