Life insurance isn't for everybody, though for single parents or couples with children, it's almost a necessity, especially since savings over the past decade for most people has been near zero.
Back in the 1960s and 1970s, whole life policies were the rage, but times have changed, and most individuals don't see insurance as an investment, but rather part of a safety net for one's family, so the wisest option is usually term life, which is normally a set amount of coverage with a fixed premium and a set length of time, or term, thus the product is known as "term life insurance."
The reason for the popularity of term life insurance is the fixed price aspect, generally easy qualifications and a guaranteed payout upon death. Some other ideas are to take out a term policy for yourself and your spouse over a time period that would cover both of you in case of death until your kids are out of college. Depending on their ages, this could be anywhere from five to twenty years.
There are many companies offering all kinds of insurance products, such as TransAmerica, Prudential, Mass Mutual, Northwestern and many others, so it pays to find a place to compare term life insurance rates.
One should consider how much insurance is needed in comparison to current income, investments, death costs (funeral, debt repayment, probate) and accumulated assets. This can be accomplished using a good life insurance calculator that allows one to enter a variety of data and then calculates an insurance amount based upon present conditions and future needs.
The cost of a policy is always a consideration, but there are many options available to help keep your family safe in case of a tragedy and give you peace of mind throughout your life.
It's worth remembering that while death is a certainty for all of us, it's the timing that is unknowable.
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