3 Unexpected Reasons to Invest in Life Insurance

When we think about life insurance, we often think about death. That’s never a pleasant topic to consider, which is why many people avoid even shopping for life insurance. What if, however, In addition to focusing on all of the ways that life insurance can help your loved ones in the event of your death, you consider all of the ways that life insurance can help both you and your family while you are still alive? Keep on reading to discover the ways that having life insurance can make your actual life easier, while protecting your family and giving you some needed peace of mind. 

Applying for Life Insurance Coverage Can Be Simple  

You may be thinking that signing up for life insurance is too much of a hassle, but finding the right life policy for your needs can actually be pretty easy. Since you are interested in life benefits of having coverage, you should make sure the type of plan you sign up for can provide cash benefits and options for using those cash benefits while you are still alive. You should also know that a blood test may be required as part of the application process for a life insurance policy. This may sound invasive, but the purpose of this blood test is to screen potential policyholders for things like high blood pressure, BMI, high cholesterol or glucose, and use of drugs, alcohol or tobacco products, all of which can increase premiums. So, if you choose to live a healthy lifestyle, getting the life insurance you need can actually be much more affordable. If, however, you are living with a preexisting condition, know that accessing life insurance coverage is still possible, but you may have limited plan choices and higher premiums. 

Having Life Insurance Can Help With Retirement Savings 

Are you saving enough for retirement? Most people will need at least 80% of their current annual income to live comfortably in retirement, but many people may not hit that savings goal or may have unexpected expenses that can deplete their savings. If either of these scenarios happen to you during retirement, however, you may be able to supplement your retirement income with life insurance. Different types of policies allow you to build some cash value that you can access to make your retirement more comfortable. Doing so can also leave you with fewer tax burdens than other options. Before you cash in your life insurance policy for retirement, or any other savings goal, you should really make sure you have enough left over to cover any final expenses. Average funeral costs can range from $7,000 to $10,000, but you may need to consider other expenses before cashing in insurance. 

Securing Coverage Now Can Pay for Healthcare Later 

From college tuition to emergency home repairs, there are so many ways that life insurance can provide financial benefits to policyholders. Another perk of having life insurance, however, is that building cash value in your policy can also provide peace of mind when it comes to affording healthcare needs in the future. That’s because healthcare costs tend to rise with age, and seniors usually need an additional $285,000 to pay for healthcare, even with Medicare coverage. If you have cash value in your life insurance policy, you can use it to offset these healthcare costs or even pay for medical bills that arise as the result of an emergency. Cash from life insurance can also be useful for paying for long-term care, which is an expense many people fail to properly plan for but will need to cover in the future. 

Now that you know the many benefits of life insurance, you can see that this type of coverage is appropriately named. Because aside from providing financial security for your family after loss, having coverage can provide benefits for you during life. 

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