Raise your ‘awareness’ when it comes to life insurance - Ahwatukee Foothills News: Money

default avatar
Welcome to the site! Login or Signup below.
|
||
Logout|My Dashboard

Raise your ‘awareness’ when it comes to life insurance

Print
Font Size:
Default font size
Larger font size

Related Stories

Posted: Tuesday, September 11, 2012 2:49 pm

September is Life Insurance Awareness Month. And when you consider the lifetime of benefits you and your family may receive from life insurance, you might agree that a month isn’t too long to spend on this important part of your overall financial picture.

Unfortunately, too many Americans are uninsured or under-insured. In fact, nearly a third of all consumers think they need more life insurance, according to the 2012 Insurance Barometer Study, published by the nonprofit LIFE Foundation and LIMRA, a research and consulting organization that specializes in insurance and financial services. And it appears that one of the main reasons so many people lack sufficient life insurance is their perception that they can’t afford it.

Yet, the cost for basic term life insurance has fallen by about 50 percent over the past 10 years, according to the LIFE Foundation.

The cost — financial, emotional and psychological — of not having adequate life insurance certainly outweighs the expense of carrying the proper coverage. You’ll hear about many things that are designed to “last a lifetime,” but in the case of life insurance, that expression is appropriate. Consider the various times in which you should look at the need for life insurance:

When you’re married — many married couples assume they won’t need life insurance until they have children. But if you or your spouse died, would the surviving spouse’s income be sufficient to pay off the mortgage, or even the rent? How about credit card balances, car loans or student loans?

When you’re married…with young kids — now, in addition to having to pay off the mortgage if anything should happen to you, your surviving spouse will have to find the money to educate your children — and that’s a big challenge, given the rapidly escalating expenses associated with college. But with sufficient life insurance in place, your spouse can deal with the high costs of higher education.

Furthermore, if you have permanent life insurance, such as whole life or universal life, you have the potential to build cash value, which you may be able to tap to help pay for college — while you’re still alive (keep in mind, though, that using some of your cash value could lower your policy’s death benefit).

When your children are grown, even with your children grown and gone, you can benefit from life insurance. For example, if your spouse outlives you by a decade or more, will he or she have enough money to enjoy a comfortable lifestyle?

When you’re retired, your need for life insurance doesn’t retire when you do. For one thing, you may be able to access the cash value of your permanent insurance to help meet your retirement expenses (keep in mind this may affect your death benefit). And your policy’s death benefit could help your children or other heirs deal with estate taxes, if any exist.

Furthermore, if you’d like to be able to pass on something to your children or grandchildren, life insurance may be an ideal vehicle, because the proceeds are typically income tax free and can avoid the time-consuming process of probate.

Life insurance can offer a lifetime of benefits, so make sure you get the coverage you need.

• This article was written by Edward Jones for use by Ahwatukee Foothills Edward Jones Financial Advisor Kim DeVoss, CFP. Reach her at (480) 785-4751 or Kim.DeVoss@edwardjones.com.

More about

More about

More about

  • Discuss

Kerry’s Blunt Words for Israel Denounced by Lawmakers in Both Parties

A bipartisan chorus of lawmakers, upset with President Obama’s decision last week to allow the passage of a United Nations resolution condemni…

Published: December 31, 2016 - 10:14 am @ http://www.nytimes.com/2016/12/28/us/politics/john…

Obama preparing to penalize Russia for hacking

WASHINGTON — The Obama administration is preparing to penalize Russia over the hacking of Democratic officials during this year's presidential…

Published: December 31, 2016 - 10:16 am @ http://www.usatoday.com/story/news/politics/2016/1…

Gov. Brown Appoints New Public Utility Commissioners to Replace Florio and Sandoval

Martha Guzman Aceves and Clifford Rechtschaffen both come from the governor’s office with strong environmental protection backgrounds. Martha …

Published: December 31, 2016 - 10:14 am @ https://www.greentechmedia.com/articles/read/gov.-…

Mail truck tips on Mesa street

MESA, Ariz. - A mail truck ended up on its side in a crash Wednesday. Mesa police say a single-vehicle collision left the United States Postal…

Published: December 31, 2016 - 10:12 am @ http://www.12news.com/news/local/valley/mail-truck…

Reports of mall disturbances light up social media

A flurry of reports of mall melees and disturbances rippled across social media Monday on a day Americans swarmed shopping hubs for post-holid…

Published: December 31, 2016 - 9:51 am @ http://www.usatoday.com/story/news/nation/2016/12/…

Graham, McCain want Russia sanctions after election hacking

Top Republican senators said Wednesday that the incoming Congress and President-elect Donald Trump should impose new and tougher sanctions on …

Published: December 31, 2016 - 9:13 am @ http://www.foxnews.com/politics/2016/12/28/graham-…

Immigration Is the Only Hope for States That Helped Trump

The decline of manufacturing does not explain the decline of Wisconsin. Photographer: Daniel Acker/BloombergFacebook Twitter Email Print Share…

Published: December 31, 2016 - 7:17 am @ https://www.bloomberg.com/view/articles/2016-12-28…

Immigration Is the Only Hope for States That Helped Trump

The decline of manufacturing does not explain the decline of Wisconsin. Photographer: Daniel Acker/BloombergFacebook Twitter Email Print Share…

Published: December 31, 2016 - 7:08 am @ https://www.bloomberg.com/view/articles/2016-12-28…

Creator of the Red Solo Cup dies at 84

FOX 32 NEWS - The creator of the Red Solo Cup died on Wednesday, December 21, 2016 at the age of 84. Robert Leo Hulseman lived in Northfield, …

Published: December 31, 2016 - 7:07 am @ http://www.fox4news.com/trending/225996868-story

12 Cars You Can Legally Import to the US in 2017

slide-4320347 There were plenty of great vehicles produced abroad that Americans (outside of Canada) haven't been able to import until they hi…

Published: December 31, 2016 - 7:06 am @ http://www.autoblog.com/photos/cars-you-can-legall…

Facebook

ahwatukee.com on Facebook

Twitter

ahwatukee.com on Twitter

RSS

Subscribe to ahwatukee.com via RSS

RSS Feeds

Spacer4px

Most Popular

Online poll

Loading…