Life Insurance

What is life insurance?

Life insurance is one of those things that no one wants to think about, but it’s essential coverage to have. If you’re no longer around to provide for your family, you need to know they’re taken care of after you’re gone. So think of life insurance as a financial safety net for your family.

The amount of coverage you need will vary depending on your age, profession, and family’s financial need. In addition, there is significant variation among the types of coverage available and the provider you choose. At Click2Bind, we will compare multiple policies from competing carriers, side by side, to ensure that we find the one that’s best for your situation.

Types of coverage

  • Term Life: This policy is for a specific period of time. Often, people choose this policy if they only need coverage while they have dependents at home. The typical duration of term life insurance is between 1 and 30 years.
  • Whole Life: As the name implies, this coverage lasts a lifetime. It can even be accessed while the policyholder is still alive. This type of coverage is ideal for high-net-worth individuals who are also interested in legacy planning.
  • Return of Premium Term Life: This policy works just like a term policy, with the only difference being that if you outlive your term policy, you will receive a refund of your premiums.
  • Universal Life: This policy provides lifelong coverage but still allows for some flexibility. It has flexible payment options and increases in cash value throughout your lifetime. The cash value becomes equity, and it can be borrowed or withdrawn. Depending on your financial goals, you can use this type of policy to grow the cash payout in the event of your death.
  • Variable: This is another permanent policy that has an investment vehicle built into it. The cash value of your policy gets invested into sub-accounts, similar to a mutual fund.

What does it cover?

Life insurance provides your family with security so that they can remain financially solvent when you die. It’s meant to be a substitute for your salary and financial support. The funds can be used for anything, though typically reserved for the following:

  • Clearing debt
  • Paying off a mortgage
  • Everyday expenses
  • Education costs
  • Funeral costs

Do I really need it?

Full disclosure: if you’re single and no one in your life depends on your income, then you probably don’t need to purchase life insurance. The people who need it are the ones who are earning an income that supports dependents. Even if your spouse is working, it’s wise to evaluate whether your spouse’s salary will be sufficient to support the family if you’re no longer there.

Claim example – How coverage works

Let’s say you and your spouse are in your mid-forties, and you have two teenagers and are getting ready for college in a few years. You’re the primary income earner, and you’re interested in accumulating cash quickly so that your children’s college dreams won’t be crushed if you die within the next handful of years. A universal life policy will help you build a nest egg that can be cashed out and used for tuition if you die prematurely.

Why Click2bind for your life insurance?

As an independent agency, we have access to multiple carriers. We do all the research and comparison shopping for you, helping you lock in the most competitive prices while getting a plan that best fits your needs. We take a data-driven approach to find the perfect policy to have the coverage you need without paying for the things you don’t.

Our easy, do-it-yourself quoting platform provides you with multiple quotes in minutes. Just answer some questions, and after a few CLICKS, you can BIND your policy!

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