Since many families survive on two salaries, life insurance is now a necessity. Dying without carrying coverage will leave your family in a though financial situation, especially if you had a mortgage loan and other debt. Although it is very important, people don't know too much about life insurance and their misconceptions prevent them from buying a good policy. Here are 5 things people think about life insurance that are wrong:
I am going to buy a policy when I'm young and make a bargain!
It is true that age influences the premiums, but your health is even more important. The thing is that age doesn't count too much up to a certain point. A 20 years old man can get cheaper rates than a 30 years old one, but the price difference is very small.
I am going to buy the cheapest policy, because that one's the best!
The cheapest policy is not the best. Usually, you will pay cheaper premiums for a smaller coverage. If the coverage is too small, the policy becomes useless as your beneficiaries will not have enough money to support themselves if and after you die!
Term life insurance is a waste of money!
People believe that buying a temporary policy is a waste of money if they outlive the term. Life coverage is meant to provide for your depended when they need it. Temporary policies can last up to 30 years. Buying one when you start a family, means that your children will graduate college (and possibly start families of their own) before the coverage expires.
I am not healthy enough for coverage!
A bad health condition doesn't necessarily stops you from getting life coverage. Of course, a great deal depends on what you are suffering from: AIDS and some forms of cancer can make you illegible for coverage. In any case, it is worth a try! Agencies have different policies regarding these things, so do not discouraged after a first attempt! If you can't by a traditional policy, you can apply for guaranteed issue or final expenses.
I can't afford it!
Life coverage is not expensive! For a coverage amount of $100,000 you'll only need to pay 10$ a month and you can find cheaper offers too! Don't be discouraged if you stumble upon expensive policies. An online insurance broker website can find you many quotes for life insurance, free! If you are having trouble finding something for your pocket, do not hesitate to ask for help.
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