Why is life insurance important?
Life insurance helps your family if something happens to you. It gives them money to pay for things like bills, living costs, and medical bills. It’s like a safety net that helps them stay financially stable.
Life insurance provides cash when you need it most.
Life insurance is like a promise to give your family money if something happens to you. If you pass away, your family will get the money right away and they won’t have to pay taxes on it. A $500,000 policy means your family will get $500,000 if something happens to you.
Steps in the insurance buying process:
- To make sure you have enough money for the things you want in the future, you can get insurance.
- There are different types of insurance that can help you.
- You need to think about how much money you can pay for insurance and how much money you want for your future goals.
- A financial professional can help you figure out what type of insurance is best for you and how much you need.
6 reasons to buy life insurance.
Life insurance can give you lasting peace of mind in terms of the assurance that you have provided a legacy. That’s because the right coverage can offer a valuable combination of benefits, many guaranteed by the claims-paying ability of New York Life—so that you and your loved ones know exactly what you’re getting.3 Of course, you have to make a long-term commitment to paying premiums and keeping the policy in force. Some of the most common reasons for buying life insurance include:
1. Guaranteed protection
Whole life insurance is like having a special savings account that helps protect your family and belongings. If something happens and you pass away, your family will get a big amount of money that can help them keep going. This money is guaranteed to be paid to them if you’ve paid all your payments and don’t owe any money. It’s a really important way to make sure your family is taken care of if something bad happens to you.
2. Income replacement
Picture if the money you give to your family stopped coming. Whole life insurance can help so that if that ever happens, your family will still have enough money to pay for important things like their home, taking care of kids, going to college, paying debts, and keeping a family business going.
3. Tax-free benefit
When you leave money for your loved ones through life insurance, they won’t have to pay extra money to the government for it. So, they get to keep all the money you left them.
4. Guaranteed cash value growth
When you pay for your Whole Life insurance, you are also saving money that will grow over time. This extra money can be used for things like helping you when you retire, paying for a child’s school, or paying off your home. It’s like having a secret stash of money for emergencies or important things you want to do in the future.
5. Dividend potential
If you buy whole life insurance from New York Life, you might get extra money called dividends. You can use this money to pay for your insurance, get more insurance, or get the money in cash. It’s not always guaranteed, but it’s a nice bonus if you get it.