From estate planning to putting together a last will and testament, there are many things you should do to prepare for when you’re no longer here. The debate over whether purchasing life insurance is worth it, in the end, is one that has been going on for decades now. Some people feel it’s a waste of money while still others think it’s the best way to cover their expenses and take care of their loved ones when they’re gone and no longer able to do so.
One question that gets asked on a regular basis is how much does life insurance cost? The answer to this question isn’t as simple as one might think. The answer is: it depends. It depends on quite a few factors, such as how much life insurance you need, your age, health, and of course, what type of policy you choose to purchase.
As for the other question of whether life insurance is worth the time and expense you put into it, that has to be determined by the individual as well. There are many reasons that purchasing life insurance is the right choice, however, and those are listed below.
Life Insurance Replaces Lost Income
One of the major reasons that purchasing a life insurance policy is worth it is that it can replace your income when you’re gone. In some cases, one parent is the sole income for their family, meaning when they pass away suddenly, the entire family is left struggling to survive. If you have adequate coverage, you’ll leave your family able to support themselves should the worst happen.
Life Insurance Covers Burial Expenses
Sadly, in a world where everything is becoming more and more expensive, even basic burial costs can run into thousands of dollars. While it is possible to prepay your funeral costs, most people just don’t think that far ahead. If you have a life insurance policy, then your burial expenses are covered, meaning your loved ones have one less thing to worry about in their time of loss.
Life Insurance Can Pay Off Debts
The last thing you want is to leave your loved ones drowning in debt and barely able to get by after you’re gone. A solid life insurance policy can pay off the debts that you leave behind. If you and your spouse have co-signed on a loan, mortgage or other bills, then your spouse will still be responsible for those bills when you’re gone. Bill collectors don’t care that your spouse is now doing it alone, so a life insurance policy can be a great asset if you pass suddenly.
Life Insurance Coverage Can Be Affordable
One of the biggest issues people have with purchasing life insurance is the cost. In reality, coverage is affordable for most people. Term life is more affordable than whole life, but it’s important to talk to your insurance company to see which will be the most affordable and cost-effective for you and your family in the end.
Life Insurance Brings Peace of Mind
It’s a fact that no one can predict the future, so you never know what is going to happen tomorrow. Having a solid life insurance policy means that you and the people you love can prepare for that eventuality because it will come for everyone. Peace of mind is worth the money you’ll spend on the policy each month.
These are just a few of the reasons that purchasing life insurance is worth it in the end. It may seem like an added expense that you don’t need, but in reality, it’ll help your loved ones more than you know when you’re gone.