why do I need life insurance?

Why Do I need Life Insurance If I Have No Dependents?

Why Do I Need Life Insurance?

I recently visited a financial planning forum and saw the following question posted: “Why Do I Need Life Insurance”. The question could have also been, “Why Do I Need Life Insurance If I Am Single? Looking at some of the feedback and responses, I thought that “Why Do I Need Life Insurance?” touches on various aspects of life insurance that should be of interest to my blog readers. My hope is that before you go looking for life quotes and possibly start searching for the best life insurance companies, as a lot of people rightfully do, you would want to read this post. The complete question, as posted in the life insurance forum, follows:

The benefits guy at work keeps telling me that I need to sign on to the company’s term life insurance plan. I’ve told him repeatedly that I don’t have a family, and I know of no one to whom I’d leave my possessions or money. However, he still insists that I need the coverage. For what reason would I need coverage under these circumstances?

Update: Everyone is missing the point. If you’re dead, then why care if you have unpaid bills. You’re dead. Burying you or throwing you in a ditch will make little difference to you at that point. They can’t take from my family’s assets, because I have no family, and it’s not as if I’ll need my assets anymore after the fact. With this in-mind, now answer the question.

The person asking the question, does have a point, I have to admit. If you do not have any family members you care about, do not plan to create a family, and if you really do not care what happens to your remains, once you are gone, then why bother with life insurance. Not sure, however, there are many people out there like that.

Assuming that an individual does not have any family members who would suffer financially if he/or she were to suddenly die, the possibility still exists that down the road one could get married (or not) and start a family and then be concerned with the financial security of that family if one were not to be around to take care of them financially. And, in that case, meaning having to purchase life insurance at a later time in life,  that person would end up paying more to get life insurance than if they would have gotten it earlier.

About Group Term Life Insurance

why do I need life insurance?

Why Do We Need Life Insurance?

Going back to the question posed by our friend the forum visitor, he/she is referring to Group Term Life Insurance, most likely. According to INVESTOPEDIA,

“Group Term Life Insurance is a type of insurance coverage offered to a group by an employer, association or other organization. Coverage provides a benefit to the beneficiaries if a covered individual dies during the covered period. As with some types of group benefits, group term life insurance is generally less expensive than individual policy coverage. For this reason, group term life insurance is often a key component in employee benefit packages”.

You may want to check to a look at the following:

VIDEO-UNDERSTANDING GROUP TERM LIFE INSURANCE, by VOYA FINANCIAL.

Pros and Cons of Group Term Life Insurance

why do I need life insurance?

why do I need life insurance?

PROS

  • No underwriting required for employer paid portion.
  • Consequently, those with severe health conditions can get coverage.
  • Age does not matter.
  • Employer may offer free coverage up to a stated amount of life insurance.Tends to be easy to sign up for.

CONS

  • If you want coverage above what the employer offers free, if any, and you are young and healthy, then the additional             coverage could be expensive because you should be able to get better rates with a policy specifically tailored for you.
  • Premiums increase every year. Group term life insurance is renewable annually and at time of renews each participitant, is, obviosly, one year older.
  • Coverage ends when you leave the job. In most cases you can continue paying for the coverage, but rates will go up according to your age and health situation at the time you apply for a new policy.
  • The employer elects they type of life insurance coverage. Most likely it will be Term Life Insurance.
  • But if you are young and healthy and decide to get your own policy for coverage in addition to what the employer offers free, you should also consider, Whole Life Insurance, Universal Life Insurance and Return of Premium Life Insurance.

TO CONCLUDE:

So, in answer to “Why Do I Need Life Insurance”, our feedback is that life insurance should be purchased as early in life as possible. The longer you wait the older you will be and the possibility of having health issues increases with age, as so does life insurance premiums. Even our friend in the life insurance forum should at least get whatever his/her employer offers free.

Call us at (786) 353-2528 and we will work with you to help you find the life insurance policy that meets your personal and financial situation. You can also get life insurance quotes using our quote engine by clicking Term Life Insurance.

why do I need life insurance?

Oscar G. Suris FL Agent
(786) 353-2528

 

life insurance for illegal immigrants

Life Insurance for Illegal Immigrants

Life Insurance for Illegal Immigrants

life insurance for illegal immigrants

Life Insurance For Illegal Immigrants

It is possible to buy life insurance for illegal immigrants, but there are very few life insurance companies that will offer life insurance for illegal immigrants.  There was a time not long ago when it was much more difficult to buy life insurance if you were an illegal immigrant, but insurance companies are starting to become more willing to insure illegal immigrants today than they were years ago.  If you are an illegal immigrant in the United States and you are interested in buying term life insurance, you must meet the following guidelines:

Non-citizens who do not have a current visa, or never had a visa, who have an established history within the U.S, have resided here for several years, have a stable employment history or are married to a U.S. citizen may be considered depending on country of origin.

Sample Life Insurance Rates for Illegal Immigrants

If you are able to meet the above guidelines, then there is a good chance that you can obtain a life insurance policy form a top rated life insurance company, if you can meet all of the other guidelines that may apply.  A healthy non-smoker 51 year old male, could get $150k of term life insurance for as little as $32.76/month.  Term life insurance rates are based on many different factors, so, please, call us for your own personalized life insurance quote.  In order to qualify for this coverage a medical exam will be required.  The exam involves blood work, urinalysis, blood pressure and height and weight measurements.  There is no cost for the medical exam.  This coverage is being offered by a life insurance company rated A+ by A.M. Best.

Life Insurance for legal non-resident aliens

If you do have a visa, but are not a U.S. citizen, the following guidelines apply:

U.S. Citizenship Is Not Required

Non-citizens who are here with a current and valid visa may be considered  for life as long as they have been in the U.S. for at least 6 months.

We May Be Able To Help You!

life insurance for illegal immigrants

LIfe Insurance For Illegal Immingrants

If you are an illegal immigrant looking for life insurance and you would like a life insurance quote, please call our Miami Office at (786) 353-2528 for an appointment, or call our Toll Free Number 888-950-TERM (8376).

small business owners

How To Save On Term Life Insurance

how to save on term life insurance

How To Save On Term LIfe Insurance

How To Save On Term Life Insurance

The main answer to the question how to save on term life insurance is simply buy it when you are young and healthy. Often people feel they don’t need life insurance when they are young. While your financial needs may be lower at a younger age, the rates are also substantially cheaper when you’re young. Remember, the goal is to cover assets like your salary and house so that if something were to happen to you, your beneficiaries would be able to survive financially. In other words, to make sure that your family  continues to live in the style they were accustomed to, or as close as possible to it, during the time the main breadwinner was alive.  The best advice is to lock in as much protection at a young age while your health and the life insurance prices are still good. Click LIFE INSURANCE NEEDS CALCULATOR and find out how much life insurance you will need to purchase in order to address the financial risks that your family may face in the event of your untimely death.

Be Aware Of What “Age Nearest” Means In Life Insurance 

While some companies raise their prices based on your actual age, most companies increase the price of their policies six months before your birthday. It’s called “Age Nearest” in the life insurance industry. That half-year price increase could really add up over a 20-year term life policy. What this means is that if you are about to purchase life insurance and your birth date is also approaching, be aware that you want to buy the policy inside the first 6 months of your, lets say, birth calendar. Meaning, if you were born in May, then you want you buy the policy before November. As above, the quicker you purchase your policy the better.

Select the Right Length of Term Life Insurance Coverage

Everyone has different needs, and not one size fits all when it comes to Term Life Insurance. While it may make sense for people in their 30’s and 40’s to secure a 20-year term length, a 10-year term might be more appropriate for someone nearing retirement. People who are trying to quit smoking, for example, might be best suited purchasing a shorter term policy and then replacing it with a longer term policy when they qualify for non-tobacco prices. Lastly, individuals who have 30-year mortgages might want to consider a 30-year term policy to ensure that the house is protected throughout the period of the loan. As so on. The term, or maturity of the policy should meet the personal and financial needs of the prospective insured.

Check for Term Life Insurance Policy Price Breaks

Companies often offer “price breaks” at certain coverage amounts (e.g., $250,000 vs. $225,000). The truth is that many people can actually pay less money for more coverage. Check how little your prices increase when you increase coverage to $250,000, $500,000, or $1,000,000. Click on QUOTE ENGINE and do your own research to find find how much a life insurance policy will cost you. Experiment with different face amounts and maturities. Or call our Toll Free Number (888) 980-8376 and we will help you calculate the right amount of life insurance you should purchase and the policy the fits your personal and financial needs.

Buy the Right Amount of Term Life Insurance Coverage

how to save on life insurance

How To Save On Term Life Insurance

The purpose of life insurance is to “indemnify” (replace financial loss), and what most people should be looking for is income replacement for their beneficiaries. Independent financial planners recommend the following: purchase an amount of coverage equal to 6-10 times your annual gross income. Some folks purchase Term Life Insurance to mature around the time they retire, perhaps at 65, assuming that by then children would have been on their own for a while and there would have been sufficient time to build a retirement fund and, if so, life insurance would no longer be needed. At least not as much as first acquired.

The Right Hobby With the Wrong Insurance Company Could Cost You 

People who participate in high-risk sports or activities (such as hang-gliding, skydiving, mountain climbing, scuba diving, and racing), or even those who like to have an occasional cigar could very well pay more money if they don’t pick the right life insurance company. Every company looks at risk factors differently and some are more liberal in certain areas than others. Speak with a licensed insurance expert and make sure they have all the underwriting criteria at their disposal and match you with the right company. If you participate in high-risk sports or activities call our  Toll Free Number (888) 950-8376 and we will work with you to find the life insurance company that meets your personal and financial goals.

Next, A Popular Way As To How To Save On Term Life Insurance

how to save on term life insurance

How To Save On Term Life Insurance

While purchasing a life insurance policy through your employer is convenient, it may not be the best deal for you. Work policies are often based on a composite profile of the employees you work with. If you are healthy, you probably helping pay for the policies of  many of your co-workers who may be less healthy than you, or who have other underwriting factors that might drive up rates. Work life insurance policies also expire if/when you leave the company at which point you will find yourself without life insurance and facing the reality that a policy obtained at that time will be substantially more expensive tha if you had gotten it when you were younder.. Inexpensive Term Life Insurance polices that cover your dependents until they can live comfortably on their own are often a better alternative. Use our QUOTE ENGINE to compare how much your own term life insurance policy would cost you vs. the company-provided policy.

Check Out Your Payment/Billing Options with Term Life Insurance

Many life insurance companies offer discounts to consumers who pay their premiums annually, or who pay monthly by electronic funds transfer (EFT). Do not ignore this. Life with any other consumer products, as you can see, you can always learn how to save on life insurance.

Review Your Term Life Insurance Policy Often

how to save on term life insurance

How To Save On Term Life Insurance

Call your agent (US!) to do a review of your life insurance policy a minimum of every three years, but preferably annually. Rates may be lower, and/or your circumstances may have changed, necessitating more or less protection. If you are replacing a policy, make sure you allow enough time to get your new policy in place so coverages won’t overlap or lapse. Call our Toll Free Number (888) 950-8376 and we will do a free policy review for you.

Do Not Overspend On Life Insurance Protection

Term Life Insurance is the most affordable and cost-effective pure protection available, It is typically much less expensive than a comparable whole life policy. The old axiom still rings true: “Buy Term and invest the difference”. Although this may not hold for all folks, do look into it. Most people feel that they only need life insurance until they are ready to retire. At this time in their life, a) hopefully, the children are already financially independent; b) a retirement fund is in place; and, c) the mortgage and all other significant financial obligations have been settled and there is no longer a need for life insurance…perhaps a small policy to cover final expenses.

CALL OSCAR G. SURIS, AGENT, AT (786) 353-2528

life insurance for 50 year old male

LIfe Insurance For 50 Year Old Male

If you are looking for Affordable Term Life Insurance, or Cheap Life Insurance, please read below. We provide you with all the information…

Buying Term LIfe Insurance

Buying Term Life Insurance

If you are looking for Affordable Term Life Insurance, or Cheap Life Insurance, please read below. We provide you with all the information…

life insurance for seniors over 70

Term Life Insurance Prices

Learn how to obtain life insurance quotes for term, universal and return of premium policies. This post will also explain how to obtain and file an application.