The most important financial safety net you can have in life often goes forgotten, or has very little importance placed upon it. Life insurance is the key to protecting yourself and your family from the unknown. The problem is that many people don’t realize just how important adequate life insurance is until it’s too late. Nobody relishes the thought of dying, but unfortunately there are time when the unexpected happens and your loved ones are forced to deal with both emotional and financial hardships. I believe there are many reasons why people go without proper insurance, and it’s based on the several life insurance myths that exist today.
One of the most perpetuated myths I have heard is that life insurance isn’t need for stay-at-home parents. They figure if they aren’t drawing an income then there isn’t a need for coverage. In reality, if the stay-at-home parent were to pass, then the working parent would need to hire someone to tend to the children. That is a very real and serious cost that many people don’t consider. The working parent can’t simply stay at home and quit their job. Yet, all those home responsibilities exist and remain.
Another myth that is too often mentioned is that if you have adequate savings then you don’t need to spend the money on life insurance. This couldn’t be more false. Consider the amount of money needed to support children into adulthood. Do you have enough saved to cover your children until they are 18 years old? Furthermore, do you intend to pay for their college? The cost of a 4 year degree is expected to be $400,000 by the time a child born today turns 18 years old. It’s a safe assumption that most people don’t have that kind of safety net in their bank accounts.
Lastly, and just as false as the previous two myths, many people think that if they have life insurance coverage through their employer that is enough. Often times the coverage is only 1 years worth of your salary, which would get eaten up by funeral costs and such. Also, consider the implications if you were to laid off by your employer. The coverage usually goes away and isn’t transferable.
As you can see there are many reasons to take out a life insurance policy. It’s not very difficult to search out reputable companies like InsureChance who have an interactive and helpful site that will walk you through all of your insurance needs. Take some time from the comfort of your own home to research life insurance and to obtain an adequate and affordable policy.