Deciding to purchase life insurance is a big financial commitment. Life insurance helps to replace current and future earnings in the case of a premature death. Most people purchasing life insurance do so because they wish to protect their loved ones from occurring unnecessary expense if they were to suddenly pass.
Just some of the considerations you will need to ask yourself prior to purchasing life insurance include the following:
- When should I purchase it?
- What type of insurance to purchase?
- How much insurance should I purchase?
The answers to these questions and more are ultimately up to you to make; however your insurance agent and financial adviser can help if you feel it is necessary. Other reasons for purchasing life insurance include providing for educational costs, but this may not be the wisest decision in today’s economy.
There are several different types of life insurance, with term and universal still remaining the most popular. Term insurance is usually written for a specified number of years – in most cases 10, 15, 20 and 30. Universal life provides virtually the same benefits as term insurance with the exception that it accumulates a cash value.
It is important to remember that since term insurance is written for specified number of years and that there is no cash value, the policy is less expensive to purchase when compared to universal life insurance. We recommend that you only purchase the correct amount based on your current and future earnings.
When to Buy?
The older you get, the more expensive life insurance policies become. Although, most young adults don’t consider purchasing life insurance until there is a significant change in their life’s (i.e. marriage, the birth of a child, accident, illness, etc.); this is actually one of the best times to buy as premiums are low.
It never hurts to sit down with a professional life insurance agent, that’s why we recommend you contact Hegarty-Haynes Insurance at (480) 820-2297 or via our online submission form. We look forward to the opportunity of assisting you in purchasing the best life insurance policy for your specific needs!