Every individual reaches a point when life insurance becomes a consideration. Most people know that life insurance can offer financial security to the loved ones of a deceased policyholder, but there are other benefits as well. Life insurance can pay for the policyholder’s funeral expenses and debts, such as a mortgage or car loan. This policy can also protect a business partner that will be impacted by a policyholder’s death. This type of coverage should be considered for anyone with children because the benefits can pay for education expenses as well.
When applying for life insurance, you’ll be required to answer a questionnaire detailing your personal information and medical history in order to determine the risk you pose to an insurer. For instance, smokers have a higher risk of developing deadly cancers and therefore may have to pay a higher premium than non-smokers.
You will then have to select which type of coverage you’d like to buy. Term life insurance is the most affordable option; you lock in a premium rate for a term of 10 to 30 years, for which you are covered in the event of death. Permanent life insurance is much more complex, with subtypes including universal, variable and whole, but offers a wider net of coverage that can last for your whole life.
Securing a life insurance policy not only protects your loved ones, but it gives your family peace of mind. No one wants to receive life insurance benefits because that would mean a terrible tragedy has occurred, but those benefits, if needed, can get your loved ones through the toughest time they may ever face.
Premiums may be less you think. Your independent agent can help you select the type of coverage you’d like to obtain and then shop around for quotes. Don’t forget to ask about payment options. Some insurers will allow you pay monthly, quarterly or semi-annually, which may result in savings.
Protect your family from the unexpected. Call Starr Insurance Agency at (512) 451-2244 for more information on Austin life insurance.