What Life Insurance Is & Isn’t

Do you find life insurance policies confusing? Don’t worry, you’re not alone. Most people are introduced to the world of insurance through policies offered by their employers, or through online ads and TV commercials run by various insurance companies. And while many people are already familiar with car insurance, homeowners insurance, and health insurance, life insurance is often overlooked or completely neglected by those who need it most. In this blog, we explain what life insurance is and isn’t so that you can make an informed decision.

#1: Life Insurance From Work Is Usually Not Enough

Outside of the policy they enroll in through work, many people don’t look for other life insurance options beyond what their employer offers. Although life insurance through work will provide you with some coverage, these polices are often limited to one or two times your annual salary. It’s also important to note that this type of coverage usually ends when you are no longer employed by the company. When you consider the debt and bills that will be left for your loved ones when you die, additional life insurance will be necessary to cover these expenses.

#2: Life Insurance Is Not a Luxury

Many people think the cost of life insurance is much higher than it actually is. In fact, one study shows that the average consumer’s estimate for the cost of a 20-year, $250,000 level term life insurance policy for a healthy 30-year-old, is three times higher than the actual pricing.

#3: Life Insurance Covers More Than Just Funeral Expenses

Although covering your funeral expenses should be a priority, it is not the only reason you should take out a life insurance policy. However, life insurance does much more than just cover the cost of your funeral. Life insurance benefits can be used to cover your lost income, pay off your mortgage, or help ensure a college fund. In general, the proceeds of a life insurance policy are tax free, and can be used by your loved ones for any of their future needs.

#4: Life Insurance Is For Everyone, Not Just Healthy People

While life insurance is more expensive if you aren’t in the best of shape, you don’t have to be in triathlete shape to qualify for coverage. If you have a serious health condition like diabetes or high blood pressure, you can still qualify if you are able to get the condition under control. You should speak to one of our insurance specialists if you have questions about qualifying for life insurance coverage.

Atlanta Life Insurance Administrator

Do you need help finding the right life insurance policy for you and your family? If so, you should get in touch with our team of experienced professionals to get started today. We can assess your situation and determine what policy best fits your needs.

Call (888) 451-0883 to find out more about the insurance products we provide for individuals and families.

Categories: