Deciding on the right life insurance policy can be difficult. You want to make sure that your family will have everything they need in your absence. Bringing up the topic of life insurance is not always easy but getting life insurance can help protect your family's future.
Whether you need to make a life insurance decision with a spouse, parent, or other important loved one, here are our top three things to know before starting the conversation.
1. How Medical History Plays a Role in Life Insurance
You take great care of yourself, exercise daily, and eat all the right things; however, you will still need all of your health records. Regardless of how well you take care of yourself, know your medical history because it will be covered on your initial life insurance assessment.
But don't let this scare you away from purchasing life insurance. A standard term life insurance policy usually covers death by any cause, at any time. However, there are some exceptions, so make sure that you ask your Richard Dean Insurance agent when reviewing your life insurance options.
2. What Amount of Life Insurance Coverage Should I Consider Looking At?
This is a tricky question. At Richard Dean Insurance, we follow the industry benchmark, which is 10 times your annual income. However, that doesn't mean you have to abide by that.
Everyone's circumstances are different, and a life insurance policy should be tailored to your individual needs. Your family's financial security is one of the most important things to consider and not every family life is the same.
Our best advice when it comes down to making a decision on the amount of your life insurance policy is having enough to cover the answers to these questions:
How much is needed to compensate for my loss of income?
How much is needed to cover all debts including the mortgage?
How much is needed to provide my family with a little cushion?
No matter your answers, it is always smart to consider companies that offer flexible payment options. It can make your life insurance policy more affordable when you can choose to pay on a monthly, quarterly, semi-annual, or annual basis.
3. What is The Right Term Life Insurance for Me?
Term life insurance can be flexible and affordable. It provides a straightforward death benefit protection without any expensive "cash value" or investment component. However, discuss your answers to the above questions with your Richard Dean Insurance Agent. They will help you calculate the best policy terms for your specific situation.
Here at Richard Dean Insurance, we work closely with our clients to ensure they are getting exactly what they need. Give us a call today and we will be happy to answer any of your questions and review what life insurance options are available to you.