Why Is Life Insurance Important?

••• Frank, www.everystockphoto.com

Life insurance policies are important because they provide many options for debt repayment, income replacement and estate planning for your family. Without a life insurance policy, your death could spell financial disaster for your heirs and could hurt their financial future.

Income Replacement

If you are a working spouse, chances are your family relies on your income to pay bills. A life insurance policy can help to replace that income when you're gone.

Debt Payoff

When you die, your family will still owe the debt you have. A life insurance policy can help them pay off that debt.

 

Funeral Expenses

Funerals are expensive. Life insurance policies give your family a means of paying for your funeral that won't affect their budget.

 

College Tuition

Left alone, your spouse may no longer be able to fund your children's college savings plans. A life insurance policy can provide funds to pay for their schooling.

 

Estate Taxes

If you have a large estate to pass on to your heirs, then there will be estate taxes to pay. A life insurance policy can provide the funds necessary and prevent the liquidation of your assets.

 

Photo Credits

  • Frank, www.everystockphoto.com