The Financial Guys, western New York’s premier advisors can help provide you and your family the peace of mind that you deserve in the event of an untimely death. Life insurance isn’t a subject matter that people casually talk about because they’re not sure if they’re able to afford it or they’re not sure what options are out there. The Financial Guys will look at your unique personal or business situation to help determine:
• How much life insurance you need based on your individual goals
• The right type of policy for your situation
• How long the term of the policy should be
• What your future life insurance needs will be
Life insurance protects your family from being burdened with debts or other financial obligations in the event of death. If considering purchasing life insurance, take a look at the four areas listed above in more depth:
Life Insurance Needs
How much life insurance you need is going to depend on numerous factors and your unique situation. For example, a person who is well into their retirement planning who has assets spread across other channels may not need as much life insurance as a younger family who is just starting out and who hasn’t invested a lot into retirement planning yet. Here are a few areas that we’ll discuss when helping you determine your life insurance needs:
• Providing care to other family members such as your children or your spouse
• Future education expenses for your children
• The cost of maintaining the lifestyle that your family currently has or that you want them to have
• The need to pay off a mortgage or other property loans
When considering a life insurance policy, The Financial Guys will help you determine your current needs along with needs that your family will have in the future.
Life insurance policy types fall into one of two categories: term or whole life. Whole life is sometimes referred to as “pure” life insurance as well but it’s important to know the distinct differences between your choices. Whole life insurance is an investment which pays a fixed amount upon death and it also builds up a cash value over time. There are a few different types of whole life insurance, which are known as variable life, variable universal life, universal life and the standard whole life.
Term life insurance is purchased for a certain number of years and there’s no investment element to the policy. Term life insurance does not build up any cash value and the price typically goes up with age.
With term life insurance, you’re going to have several options to choose from when it comes to the length of the policy. Common terms generally fall into the 10 to 20 year range but there are also options for annual renewable term life policies as well. The length of the term that you decide upon should be based on your current life insurance needs plus your future needs, especially if it’s a longer term policy.
Your life insurance needs now and your life insurance needs in the future may vary. Even if you already have life insurance in place, it may be time to reassess your needs. The Financial Guys will help you determine what options are suitable now and what options are appropriate for years down the road.
There is no preset time in your life to start thinking about life insurance. It’s never too late or too early to start thinking about and planning for the future. For all of your life insurance needs in Buffalo, western New York and beyond, The Financial Guys are on your team.