Thursday, August 20, 2020

Why & When You Need Life Insurance

Efma - LegacyShield announces new innovative life insurance ...Here are some life situations wherein you are going to need a life insurance policy.


When You are diagnosed with a life-threatening ailment - Life insurance policies are designed to help you overcome life’s uncertainties. Should you succumb to the illness - hospitalizations and medical bills can be expensive and quickly deplete your life’s savings if you don’t have a robust life insurance policy to help you. While it may seem like a financial burden right now, but this policy will play a massive role in keeping you afloat when the illness hits you too. Supplemented by critical illness riders, life insurance policies become your financial partner even in the time of disease. As soon as you are diagnosed with the condition mentioned in your policy document, the critical illness rider is activated and you get the sum assured that helps you pay for your treatment and related expenses without digging into your savings.

When you are the sole breadwinner - When you are the only earning member in your family, then you must consider buying a life insurance policy to secure the financial future of your loved ones. When you invest in a plan, it helps to provide financial relief to those whom you left behind. It will help them continue living their best life and fulfill all the financial obligations. Look at it from your family’s point of view, and you’ll see why you need one. Life insurance is a tool that protects your spouse and children from the devastating losses that can result from your premature passing.

When you have more dependents in your family - Your life insurance policy will deliver the sum assured at the exact time when it is needed the most. Upon your death, your family will get the policy benefit that is tax-free and will help them get on with their lives. When you have dependents in your family that are your financial responsibility, then you need to ensure that the sum assured is enough to pay for everyone’s needs. Ideally, the coverage amount should be at least 15-20 times your annual income to pay for your family’s future financial obligations and also account for inflation.

When you have liabilities and loans - Do you want to leave behind mounds of debt upon your passing? If you don’t want your family to deal with financial liabilities during a crisis, then you must invest in a life insurance policy. Any outstanding debt such as home loan, auto loan, or loan on credit cards would be taken care of by your policy so that your family doesn’t have to deal with your debts.

When you have a risky occupation - Generally speaking, when an occupation is regarded as risky with an elevated risk of demise, then it is all the more critical for you to invest in a life insurance policy. This is all the more necessary if your family depends on your income.
On-the-road sales executives, truck drivers, coal mines, fishing and logging, and ship, are considered as professions with occupational hazards. So consider your profession and figure where you fall on the risk scale. Use this information to find suitable life insurance policies that offer coverage to people in these trades. Since you are already working in a risky occupation, having a plan in your portfolio will give you and your family the peace of mind that they will be able to move on in case something happens to you.

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