Interested in life insurance for your children or grandchildren? Getting a permanent Life insurance policy now means they won’t have to worry about qualifying as an adult later! Juvenile life insurance policies guarantee the future insurability of your child, regardless of their future health or lifestyle. It doesn’t even require a medical exam! Purchasing a life policy for your child now can also help them get the best possible premium rate, as costs tend to be much higher as an insured ages. A well thought-out life insurance portfolio can be a great asset for your children or grandchildren!
A universal life insurance policy is a permanent insurance option that also accumulates cash-value! This type of policy offers lifelong protection and as long as you pay the premium, you have coverage. Unlike 529 college savings plans, a child’s life insurance policy can be used for purposes other than education expenses. Your child could use the cash value of their insurance policy to start a business, purchase a home, supplement their retirement, or pay for school! It’s best to purchase life insurance as soon as possible, as the earlier you begin the policy the longer it has to build it’s cash value.
Protecting the Whole Family
Married adults, with or without children, could become the sole provider for their household if they lose their spouse. This could be paying a mortgage, taxes, and other bills, not to mention childcare if you have children. Remember to consider coverage for both working and stay-at-home parents. This policy would ideally replace the working parent’s income, should they no longer be around. Or it would support resources for childcare, so the working parent could continue to provide an income. Empty nesters and retirees may no longer have financially dependent children, but make sure to consider the expenses of a surviving spouse. A reduction in income and pensions could make it difficult to cover mortgages, final expenses, or other debts.
Life insurance is not one-size-fits-all. Everyone’s needs, wants, budgets, and goals are different. However, you can get a good estimate of how much of a death benefit your family will need to maintain their life style. Consider things like your mortgage, monthly bills, taxes, education expenses, and debts. Ideally, the coverage amount should be large enough to meets the needs of all those who depend on you. There are several options for benefit payouts. You can opt for a single lump-sum payout or monthly payments, which is a great option for young beneficiaries. Additionally, you can also structure the policy to pay into an individual retirement account for your spouse.
Want a life insurance quote for your children? Give us a call at 661-542-7007!