If
you have financial obligations that will basically not be affected
by his death before the due date, you should consider the role
life insurance can play in managing this risk.
It is not the only tool that can be practiced in solving this problem, but it can be helpful to cover dangerous in the short term at least. In other words, there are steps you can take to improve their real incomes and protect your family if you live a normal life or die prematurely. At the same time, I should not have life insurance to cover the period until they have private insurance and reduce the risk that your survivors.
It is not the only tool that can be practiced in solving this problem, but it can be helpful to cover dangerous in the short term at least. In other words, there are steps you can take to improve their real incomes and protect your family if you live a normal life or die prematurely. At the same time, I should not have life insurance to cover the period until they have private insurance and reduce the risk that your survivors.
The
first step
you should take is to carefully consider their net present value. It's basically
your assets minus your debts. All assets including
equity in your home, retirement
plans and other debt, less liquid securities that you are responsible.
Then
you should consider living family members who will be affected financially
if you spend any time soon. This may include your spouse, children and even their parents who may be dependent on you.
Financing
gap projected
that the loss of income for this group of people can be estimated with a lump sum can be calculated to help realize their potential salary and investment income over
time.
Ways
you can reduce the size of the benefits of life insurance you need to buy is:
1. To reduce debt to be in your name,
especially consumer debt such as credit
cards and auto loans.
2.
Build enough
cash reserve covering family issues that may arise at any time.
3.
Check all
employees to properly identify
and death benefits
have through your employer. They are less valuable, but also want to make clear
what much life
insurance you have on your car
insurance.
4. Create a real plan that adequately protects your spouse and dependent children
know what the capital will be needed to maintain
the same standard of living, including
retirement goals and college.
5. Store a long enough life
insurance that is affordable and big enough to take care of the needs of all who are
important to you.
You're
not even willing to choose an insurance company or go through the underwriting
process until these issues have
been well defined individually. Having
done this analysis, you will be
able to answer why is making
this investment and how this lump sum death will be able
to meet the needs of your family
for his death.