The most important reason – and perhaps the sole reason – that you should buy life insurance, is to provide financial security for the people that matter most to you. People like your dependents, meaning that you can rest easily in the knowledge that your children, spouse and even parents will have the same financial stability that you provided for them when you were alive. At the very least, it would be advisable to find out exactly how much life insurance companies can quote you – you will no doubt find that their prices are more than reasonable.
A time of adjustment
Without the income you provided for them while you were alive, there is no doubt that your dependents will find it a struggle to maintain the same standard of living after your death. A spokesperson from a UK based life insurance comparison site had this to say on the subject: “Freak accidents can happen to anyone, but having life cover will ensure that you or your family don’t suffer financially when the unthinkable happens and financial stability is the last thing on their minds”.
It is a fact that finances are furthest from someone’s mind when they lose a loved one, particularly if it’s a spouse, but it is also a sad fact that these things need to be considered and taken care of by those left behind so it is a good idea to leave them with as little worrying to do as possible by having a policy that is going to pay out and put their minds at ease.
Medical and funeral expenses
It is quite possible that you will have incurred significant medical expenses in the period leading up to your death, especially if you were suffering from a protracted illness. In addition, the expense of a funeral – even the most rudimentary of funerals – can be a severe financial burden to those left behind – this is certainly something for which certain life insurance policies make allowances.
One of the major problems your beneficiaries may be left with is the dreaded Inheritance Tax – a common problem for many! Family members often see very little of any assets, liquid or otherwise, that are left behind for them by a relative. It is not unusual for some governments to take 50% of everything that is left behind as inheritance tax. You need not worry though, as there a number of life insurance that make provisions for such eventualities.
While people don’t want to think about it and may even see it as a bit morbid, it makes sense to be prepared for the worst so that if the unthinkable happens you are leaving your loved ones in a strong position so they don’t need to worry about finances when they are grieving.
Check out the following embedded videos below that will show a different video on every play:
- Julio doesn’t know if he’s living the American Dream, but he’s living his dream, and he doesn’t want it to end. So he got benefits at work to back him up.
- Tom’s brother, who had never been sick before, had benefits that helped his family keep living the way they’d been living. Needless to say, he signed up for benefits like that.
- We’re saving less, things cost more and Rebecca wanted to protect her income, health and family. What did she do to feel more in control of her world?
- Karen used to think benefits weren’t for her. Then three things happened that changed her mind. Now she knows that everyone needs benefits.
- Rosa knows that Unum is different from other benefits companies because they care about her people as much as she does. That’s what it’s really all about.