Life insurance is becoming more common in every family due to a weakening economy that is seriously stressing the minds of families struggling financially. What would happen if one of the spouses died prematurely? Would the spouse left behind make it financially?
Once the decision has been made to take out a life insurance policy then the next decision is how much are you willing to spend? Each month the life insurance policy will demand you pay a premium. This premium is agreed upon by you and the insurance company, so it all comes down to reaching a number that is affordable for you.
Once the monthly payment amount is decided by the policy holder, the insurance provider can calculate how much money your loved ones can expect to receive from your police after you die.
Payments can constantly be made throughout your lifetime, or you can elect to set a fixed term plan, where payments end after a certain date, but the money stays firm in the account until you pass away.
At this stage, the policy holder will have taken care of all the financial issues regarding their life insurance policy and will now be faced with dealing with a much larger emotional issue. "Who will be the beneficiaries of the policy once I'm gone?"
However, the issue becomes slightly more complicated when a person is single or widowed. If children are around, they usually receive the payout. But if they are also not into the factor, it's common to see extended family or business partners labeled as beneficiaries.
Life insurance is like a will. If say, you labeled a beneficiary years ago with whom you had a falling out with, and do not wish to grant him money anymore, than at any time you are welcomed to add or change benefactors.
Owning a life insurance policy and living to see it reach maturity is a very worthwhile experience. The knowledge that you have been able to provide for your loved ones after you have gone is the best answer to the question" why get life insurance? - 33372
Once the decision has been made to take out a life insurance policy then the next decision is how much are you willing to spend? Each month the life insurance policy will demand you pay a premium. This premium is agreed upon by you and the insurance company, so it all comes down to reaching a number that is affordable for you.
Once the monthly payment amount is decided by the policy holder, the insurance provider can calculate how much money your loved ones can expect to receive from your police after you die.
Payments can constantly be made throughout your lifetime, or you can elect to set a fixed term plan, where payments end after a certain date, but the money stays firm in the account until you pass away.
At this stage, the policy holder will have taken care of all the financial issues regarding their life insurance policy and will now be faced with dealing with a much larger emotional issue. "Who will be the beneficiaries of the policy once I'm gone?"
However, the issue becomes slightly more complicated when a person is single or widowed. If children are around, they usually receive the payout. But if they are also not into the factor, it's common to see extended family or business partners labeled as beneficiaries.
Life insurance is like a will. If say, you labeled a beneficiary years ago with whom you had a falling out with, and do not wish to grant him money anymore, than at any time you are welcomed to add or change benefactors.
Owning a life insurance policy and living to see it reach maturity is a very worthwhile experience. The knowledge that you have been able to provide for your loved ones after you have gone is the best answer to the question" why get life insurance? - 33372
About the Author:
Graham McKenzie is the content Syndication Manager at insurance123.co.zaSouth Africa's leading Life Insurance information portal
