As we plan our financial goals for the year, it’s important to talk about life insurance—a topic that isn’t always pleasant but is crucial. While buying life insurance might not seem like a benefit to you personally, it’s essential for protecting your family’s future if something happens to you. Getting term life insurance quotes, especially for those over 80, can be tough, so it’s smart to plan ahead.
Here are some simple steps to get life insurance this year.
**Getting Life Insurance in 4 Simple Steps**
1. **Health Matters**: Many soon-to-be retirees feel unprepared for their financial future. They understand that both health and wealth are key to their overall well-being and want to improve both. Some life insurance companies don’t require health checks, but those aren’t usually the best options. Go for a company that does a health exam—it can lead to better rates and benefits. If your health isn’t great, work on improving it to get better insurance rates. While losing weight or reducing medication might seem challenging, it’s a healthier and more economical choice. John Hancock’s Vitality life insurance, for instance, lets customers save on premiums and earn rewards by staying healthy.
2. **Think of It as Protection, Not an Investment**: View life insurance as protection for your family rather than an investment. Term life insurance is often a better option than whole life insurance, especially for younger folks. It’s cheaper and offers sufficient coverage.
3. **Calculate Your Insurance Needs**: Figure out what your family will need financially if you pass away. Consider current expenses, funeral costs, and the future needs of your spouse and kids. Even if you feel healthy and expect a long life, it’s wise to be prepared. If you don’t have dependents, funeral costs, or if your employer’s coverage is enough, you might not need extra insurance.
4. **Budget for Insurance**: One easy way to afford life insurance is through employment benefits. If the cost is taken from your paycheck before you see it, you won’t miss it as much. Term life insurance is typically affordable, but some people find it hard to spend $200-400 a year. Think of it as saving just $20 a month, which should cover most term life insurance plans.
Spending money on something that doesn’t seem immediately necessary, like any insurance, can be tough. No one likes paying extra for auto or health insurance if they haven’t had accidents or health issues recently. But in the rare event something goes wrong, you’ll be glad you have it. That’s why having term life insurance is a good idea, especially if you have dependents.
Have you bought life insurance? Does your coverage adequately protect your family?