You may be like most people and wonder what are the benefits of life insurance? Most people do not know that the benefits of life insurance extend beyond just the typical death benefit that would go to your family after you pass.
The following is benefits of like insurance that you may or may not have known about:
Income Replacement for Lost Salary
Whenever you have life insurance and you pass away your family will receive a death benefit. This can be used to pay off debt and replace your income. This replacement of income ensures your family is not burdened financially because of one less income in the house.
Whenever you purchase life insurance you can have something added called a rider. A rider will pay you each month and is commonly used to supplement retirement income. The best part is that this rider does not typically affect your death benefit that your family will receive.
One of the most common benefits of life insurance is using it for inheritance. It is a great way that you can setup your spouse and children to have a guaranteed inheritance. This inheritance can be split up however you want and will go to them upon claiming the life insurance policy.
All of the money that your family will receive from life insurance once you pass away is completely tax free. Life insurance is one of the few ways that you can leave tax free money to your spouse and children upon your death.
Borrowing Against Your Life Insurance
Lastly, a benefit that most people do not know about is that whenever you go to purchase a home or want to start a business you can use your life insurance as a collateral. This is something that can be every useful when you need it.
Life insurance has many other benefits that are not on this page. If you would like to learn more feel free to give us a call at any of our locations. Contact us today!