Often, young couples find too much month left at the end of their pay checks; this difficulty often becomes greater with changes such as becoming home owners or parents. Despite understandable angst that comes with adding yet another line item to your already stretched budget, life insurance is increasingly important as you take on greater levels of adult commitments. It’s even worth living at a less comfortable lifestyle if that would mean allowing your family to remain in your home and maintain the same lifestyle to which they’re accustomed in the case of your untimely death. Having to make other major changes in the face of such a loss is certainly something no loving spouse or parent would choose.
We hear you stammering, “But what if . . . ?” So we’ll take a look at two of the most common “what ifs” parents tend to ask about whether they really would be wise to purchase life insurance for themselves.
What If You’re Not the Primary Breadwinner?
Even if you don’t bring home the larger paycheck or any income at all, you will be missed greatly by your family. And we aren’t talking about only emotions, here. Your family relies on the combination of your contributions of finances and services in order to perpetuate the quality of life to which they’re accustomed. And those services shouldn’t be underestimated: from cooking and cleaning to household management and childcare, paying for those services doesn’t come cheap. And your surviving partner will have enough extra emotional weight to pull in the wake of your death, without adding all those tasks to an already busy schedule. Your life insurance policy can help lighten that load.
What If I Get a Term Life Insurance Policy?
Term life insurance policies are especially popular with young families; low cost combines with high coverage for what appears to be the best bang for your buck. But there’s a catch: the time period or term for which such a policy will last. While you might assume that your spouse will only benefit from a life insurance payout if the kids are still in school or the house hasn’t yet been paid off, you’d be wrong. From continued income for your surviving spouse to property taxes, credit card debt, rising health care costs, and other expenses, there is no expiration date on the need for life insurance. However, there is an expiration date on your term life insurance policy, and renewing it can be extremely costly. Premiums always increase with age, and sometimes health issues eliminate eligibility at all.
By contrast with term life insurance policies, permanent life insurance policies offer many benefits over term life insurance policies, such as the following top 3:
• Death benefits
• Lifelong protection
• Accumulation of tax-deferred cash values
The Nicholas Insurance Agency, led by Greg Nicholas, is a family owned business serving the York county, Pennsylvania region. In the insurance business since 1981, Greg Nicholas helps families, businesses and individuals understand the value of different insurance products and make wise decisions when selecting the best insurance products for their specific situations.
Offering exclusively Allstate insurance products, the Nicholas Agency provides auto, homeowners, rental and landlord insurance as well as life & disability, recreational vehicle, motorcycle and personal liability insurance.
For more information, visit our two York, PA locations at Westgate Plaza or York Marketplace, visit our website at nicholasins.com, or call us at (717) 764-2024.