For many people, the first introduction to life insurance is when a friend or “friend of a friend” gets an insurance license. For others, a close friend or relative may not have adequate coverage or life insurance. For me, I was introduced to a life insurance company. There I had to make appointments with friends and family. When I learned the ins and outs of the industry and hope to sell some.
Unfortunately, however, most people get life insurance this way. They don’t buy it, they sell it. But is life insurance something you really need? Or is it just a problem spread by the salesperson under your nose?
There are actually many reasons why you should buy life insurance. We are going to discuss those reasons below:
To pay the final expenses
Burial costs can easily run into tens of thousands of dollars. At the time of my death, I do not want my wife, parents, or children to suffer additional financial loss emotionally.
To cover children’s expenses
As responsible parents, it is important to ensure that our children are well cared for. They can afford a standard college education. For this reason, additional coverage is necessary while the children are still at home.
To changing spouse’s income
If one parent dies, the surviving parent will have to change the income that is necessary for their lifestyle. Responsible surviving parents will need to seek help with household chores. Add to this equation if it’s a single parent. Helps with school work, and takes her children on doctor visits.
To pay off debts
A family will need insurance to pay off mortgage-like debts. So, they don’t have to sell the house to live.
To buy a business partner’s shares
Business partners need insurance on each other’s spouses’ lives. It is because if one dies, the others will have enough cash to buy the interest from his heirs. And pay its share of the company’s obligations without selling the company. They bought each other’s life insurance at the same time.
To paying state taxes
State taxes can be very high. Therefore, it is important to avoid risking regulatory assets or retirement funds to pay for insurance. The use of insurance for this purpose is most common in large cities. Use permanent (instead of the term) insurance to ensure this. So that coverage lasts for the rest.
To providing living benefits
With the rise of technology in the medical field, the chances of living longer have increased. But it cannot be tolerated. Living benefits is an option to use the proceeds of death before the death of the sick. It helps with responsibilities or needs to reduce the pressure on oneself and others.