September is Life Insurance Awareness Month! Here at Apex Insurance Services, LLC, we get one simple question a lot: “do I really need life insurance?” Our bread and butter is insurance, so we know precisely what you need and how much coverage should be sufficient. Let’s take a look at what life insurance is and who benefits from its coverage.

What Is Life Insurance?
Life insurance is a type of coverage that pays out if something happens to you. In the event of your death, your life insurance policy will provide much-needed financial assistance to your family so that they can cover (at least) the cost of your funeral. Depending on what stage of life you are in, you may need more monetary coverage than you think.

Who Needs Life Insurance?
The simple answer is “everyone,” but some people may argue with this notion. Realistically speaking, any individual who makes the majority of the money for his or her family should have a decent life insurance policy. Single individuals with no children, for example, may not need life insurance since they have no dependents. In the event of their untimely passing, all that will be needed are funds to cover the funeral and burial.

 

How Do I Know What Kind of Insurance to Get?

When beginning the task of sifting through life insurance policies, four critical considerations must be made:

Your Yearly Income
When you select an insurance policy, your total amount should surpass what you make in a year for the number of years you would like to support your family. For example, if you make $50,000 a year and would like your life insurance policy to support your family for five years, you need at least a $250,000 life insurance policy. However, this isn’t the only consideration.

Cost of Living
In the event of your untimely death, your spouse will have additional expenses to make up for all of the little things you do every day. While it can be difficult to calculate all of these items individually, it should be a consideration when selecting a life insurance policy.

All of Your Debt
If something happens to you, your debt doesn’t magically disappear, especially if your spouse is on the loan or credit card with you. Before you sign up for a life insurance policy, calculate the sum of all your debt: house mortgage, car loans, student loans, credit card debt, etc. Make sure your life insurance policy includes enough money (upfront) to eliminate these debts.

Passing onto Children
While money is no substitute for your presence, it certainly could help in the event of your death. By selecting a sizeable insurance premium, you can take care of your children after you are gone. Perhaps you can pay for one year of college or the down payment on a car – it’s up to you.

Apex Insurance Services: Life Insurance in Atlanta

We are experts in life insurance; if you’re looking for a local business that offers many different insurance options, Apex has your back. Contact our team today for more information about a life insurance policy that fits your needs!