Life insurance is an important part of your financial planning at any age. Fact is, most families do not have enough savings to get by if they were to lose a loved one. Life insurance provides your family with much needed financial security in the event you were to pass away. Whether you are in Scottsdale, Maricopa County, or Pima County, Palomino Insurance Agency, Inc. is committed to helping you gain this security through an affordable life insurance plan.
Premium rates increase with age so it is important that you consider life insurance while you are younger. Life insurance can be purchased earlier in life knowing that your policy is protected through the Arizona Property and Casualty Insurance Guaranty Fund. This fund offers protection to policy holders should a life insurer becomes insolvent during a policy holder’s lifetime.
Many people believe that the life insurance benefits offered through their employer provide an adequate level of coverage but this is rarely the case. Employer-offered life insurance may only offer up to a single year of income which can leave your loved ones unprotected. A general rule of thumb is that a life insurance policy should provide a benefit of approximately 8 to 10 times the breadwinner’s yearly income.
There are a couple of common life insurance options available depending on your needs. These options are:
- Term Life Insurance – Coverage for a set period of time, usually from 5-30 years. Term Life Insurance tends to be one of the more affordable policy options.
- Permanent Life Insurance – Coverage for a lifetime and can often include an investment component. Permanent Life Insurance is generally more expensive than Term Life Insurance.
Whole Life, Universal Life, and Variable Life policies are additional variations of Permanent Life insurance. If you are considering a Permanent Life Insurance option, the team at Palomino Insurance Agency, Inc. will explain the differences between each type to help you determine which is right for you and your family.
You will want to take into account all possible expenses your loved ones may be faced with when you are shopping for a life insurance policy. Be sure to consider medical expenses, burial costs, estate taxes, monthly bills and expenses, remaining mortgage, college tuition, and retirement costs. You should also re-evaluate your life insurance plan after every major life event such as the birth of a child, purchase of a home, or marriage, to ensure your coverage is still sufficient.
Life insurance is a means to provide for your family financially, even after you have passed. Palomino Insurance Agency, Inc. will make sure your loved ones are taken care of through a quality life insurance plan that meets the needs of you and your family. Contact us today for more information on life insurance or to receive a free quote.