Retirement Fund – There should also be adequate funds available to ensure that the spouse can retire comfortably.This might include private school and University. Educational Funds – Adequate funds should be available for the children’s’ education.Supplemental Income – After the re-adjustment period, there should be a consistent income stream to help pay the family’s living expenses, such as mortgage payments, monthly bills, and daycare expenses. In addition, a working spouse may find it difficult to return to work immediately after the death of a partner. The family may be forced to move, or the surviving spouse might have to look for a new job. Re-adjustment Fund – This may be used to cushion the immediate lifestyle adjustment that a family must make when a loved one dies.Your insurance agent will take you through a series of steps called a Needs Analysis in determining your Sum Assured. Final Expenses – These could be unpaid medical bills, funeral expenses, unpaid debts and taxes.There is no magic formula to determine how much life insurance you should have however, there are a number of factors that should be considered when estimating how much life insurance you should carry. Employee Benefits – Life insurance protection for employees is commonly included in company employee benefits plans.Business Loans – Life insurance protection on a key employee or business owner can be used to pay off the debts of a business in the event of that individual’s death.Key-Person – A life insurance policy can be used to protect a business from the loss of income and profits caused by the death of a key employee.To create a family emergency fund or a fund for a family member with special needs.To pay final expenses, such as funeral cost or medical bills.To create a fund for children’s education.To pay off a mortgage loan and other personal and business debts.To replace income a family would need to maintain their standard of living after the death of a wage earner.Here are some reasons why people buy life insurance. Although you may not think about it, your ability to earn an income is a significant asset and life insurance helps replace lost income in the event of your premature death.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |