Life can be full of surprises, and you want to be ready for whatever lies ahead. Through life insurance, you can prepare for the unexpected by providing financial security for your loved ones in the event of your death. An important caveat, however, is that navigating life insurance policies can be a daunting task. Here are some tips to help you get the most value and protection out of your life insurance coverage:

 

• Determine how long you’ll need coverage. There are two major types of life insurance–permanent (whole) and term. As the name suggests, permanent life insurance provides you with lifelong protection. In comparison, term life insurance covers you for a specific time period, whether it be 10, 15, 20, or 30 years.
• Understand the cost of your coverage. Each type of life insurance policy carries a different cost based on the coverage and the influence of personal factors such as health status, family health history, age, gender, occupation, and lifestyle.
• Get a health checkup. Health plays a significant role in your coverage. Get the best coverage possible by improving and maintaining your health and uncovering health issues in their early stages. If your health improves after setting up a policy, you may have the opportunity to submit reevaluations for a reduction in your premiums.
• Consider paying for your policy annually. While spreading the cost over the year can make it more manageable, you’re likely to pay more if choosing to pay monthly. Therefore, you can save money if you’re able to afford annual payments.
• Get coverage before you need it. Putting off the purchase of life insurance can cost you more in the long run. The ideal time to purchase a policy is as early as possible. The best practice is to purchase while you’re young and healthy because changes in circumstances are inevitable. And as time passes, you may develop health conditions that’ll result in higher premiums.

 

Life insurance is designed to protect your loved ones when you’re not able to. As your dedicated team, reach out to us, and we’ll help you get the information you need to make better-informed insurance decisions.

 

Adapted from Life Happens ¹

 

Securities offered through SCF Securities,Inc. Member FINRA/SIPC 155 E. Shaw Ave. Suite 102, Fresno, CA 93710 • (800) 955-2517 •Fax (559) 456- 6109. SCF Securities, Inc. and Creative Financial Strategies LLC are independently owned and operated. www.scfsecurities.com Note: Securities offered through SCF Securities Inc., Investment Advisory Services offered through SCF Investment Advisors, Inc.This document is for educational purposes only and should not be construed as legal or tax advice. One should consult a legal or tax professional regarding their own personal situation. Any comments regarding safe and secure investments and guaranteed income streams refer only to fixed insurance products offered by an insurance company. They do not refer in any way to securities or investment advisory products Insurance policy applications are vetted through an underwriting process set forth by the issuing insurance company. Some applications may not be accepted based upon adverse underwriting results.  Death benefit payouts are based upon the claims paying ability of the issuing insurance company. The firm providing this document is not affiliated with the Social Security Administration or any other government entity.

1 https://lifehappens.org/videos/the-living-benefits-of-life-insurance/

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