September has come back around again, and that means we are once more looking at another Life Insurance Awareness Month! Here at Apex Insurance Services, LLC, we are always stressing the importance of life insurance to our customers and clients in the Atlanta and Stone Mountain areas. Last year, we took a look at the answer to the question, Do You Need Life Insurance? This year, we’ll take a look at the different types of life insurance and what might suit you better.

How Do I Choose a Life Insurance Package?

The bottom line is this: when choosing which life insurance package is right for you, you need to think about your loved ones. It’s not fun to think about what they will do without you, but it’s a necessity. As we discussed last year, you’ll want to consider the following things as you look at the life insurance packages available to you:

  • Your yearly income
  • The current and projected cost of living (which is rising at alarming rates right now)
  • How much debt you have
  • What you want to leave your children

Each of these factors will play a role in the dollar amount that your life insurance package should offer. Keep in mind that a funeral, burial, and memorial will also be required, should you pass. By selecting the right insurance package, you can make sure that your family is financially protected and comfortable without you.

What Are My Different Options?

There are two main types of life insurance packages: term and permanent. Let’s take a look at these in detail.

Term Life Insurance

This type of life insurance is great if you only want to purchase a set of years at a time. For example, a popular 20-year term life insurance policy might give you more coverage for less money. This is a great insurance option if you want to purchase coverage to protect your family while you are still young, or for specific purposes – like covering your children’s college tuition should you pass. 

Some insurance companies also offer “convertible” policies whose stipulations can be changed based on your current needs. Talk to your insurance agent to see if this might work for you and your family.

A Note About the Pricing for Life Insurance:

It goes without saying that your life insurance premium is going to be much cheaper when you are young and much more expensive when you are older. This is because your insurance company needs to consider the risk associated with insuring you. Older individuals, even though they might be extremely healthy, are at a higher assumed risk of death.

Permanent Life Insurance

As you might infer from the point above, permanent life insurance is going to be a bit more pricey; however, you’ll never have to worry about it again. Permanent life insurance policies are a neat concept in that they consist of a “savings” of sorts. As you pay on your permanent life insurance policy, you develop equity in it. Once your plan savings have reached a certain amount, you can draw on that if necessary.

Apex Insurance Services, LLC: Atlanta’s Insurance Experts

Still not sure what you need? Get in touch with our team of life insurance experts today. We can help you determine what’s just right for your current situation – all while helping you plan for the future.