Why Life Insurance Matters: A Different Perspective
“Life insurance isn’t for the people who die. It’s for the people who live.” This poignant quote from Life Happens perfectly encapsulates why considering life insurance as part of your employee benefits is so important. When we take steps to ensure the financial well-being of our loved ones, we’re essentially embracing life itself.
Living Benefits
You may question the value of investing in life insurance, especially when you consider that you won’t personally benefit from it. However, the real essence of life insurance lies not in its utility for the deceased, but in its significance for the survivors.
Far beyond merely covering funeral expenses, life insurance provides a financial cushion that can manage household bills, mortgage or rent payments, and even future educational and retirement funds for your loved ones.
What many people aren’t aware of is that life insurance can also offer ‘living benefits.’ These are funds accessible to you during your lifetime for various purposes—whether it’s making a down payment on a house, bolstering your retirement income, or tackling an unexpected financial emergency.
Thirty-eight percent of Americans say their household would face financial hardship within six months should a wage earner die unexpectedly — 30% would struggle financially within a month.
What to Consider When Selecting Life Insurance
- Beneficiary: Who will you designate to receive the benefits? Make sure it aligns with your long-term plans.
- Coverage Amount: Balance what you can afford with what would genuinely assist your beneficiaries.
- Your Age: It can be easy to put off thinking about life insurance but earlier is better than later when it comes to investing in a life insurance policy.
Types of Life Insurance to Know
While there are many types of life insurance, the most common ones include:
- Term Life Insurance: Covers you for a set period (like 20 or 30 years).
- Whole Life Insurance: Offers lifelong coverage and includes an investment component.
Take the Next Steps
If this information piques your interest, we encourage you to delve deeper. Visit your employee portal, check out your benefit guide, or have a conversation with a benefits counselor to understand the options available to you. After all, life insurance isn’t just about planning for an uncertain future; it’s about embracing life today.
We Care
Our team at AmeriLife Benefits is proud to participate in Life Insurance Awareness month as we understand just how critical life insurance is to the wellbeing of today’s workers and their families.
To learn more about life insurance and how we can help, visit AmeriLife Benefits today!
