Term Life Insurance
Covering Your Financial Obligations :
Term Life Insurance
The Protection You Need for Now
You've worked hard for the things you enjoy in life. You've also tried
to assure that those who depend on you are free from financial worry. What
would happen if you died and could not provide financial support for your
family? Could your family keep their home? Would the bills be paid? Would
your children be able to afford to go to college?
Most customers who need basic financial protection for a limited, specified
period of time find life insurance a valuable life insurance alternative.
What is Term Insurance?
Term life insurance provides financial protection for a specific period
of time. If death occurs within the time limits, or "term" of the policy,
the face amount of the policy is paid. This "face" amount is the amount
of money that is paid upon the death of the insured person. On the other
hand, when the insured person lives longer than the length of the policy's
"term", nothing is paid.
The two most common types of term insurance are decreasing and level
term. With decreasing term, the coverage amount decreases from year
to year or month to month. It is frequently used to provide funds to pay
the decreasing amount of a home mortgage. Level term insurance provides
a constant amount of insurance for a specified time period.
What are your life insurance
needs?
You may want to consider the following:
Total Obligations
-(minus)
Total Personal Funds
=(equals)
Total Life Insurance Needed
Obligations:
-
Homeowner (outstanding mortgage loan balance and real estate taxes)
-
Credit Card Debt
-
Outstanding Loans
-
Children's Education Fund
-
Emergency Cash Fund (cash needed immediately)
-
Family Living Expenses (money needed to continue present lifestyle)
-
Child Care Fund (money needed to keep children under paid supervision)
-
retirement Fund
-
Other (final expenses, estate taxes)
Personal Funds
-
Savings
-
Checking
-
Stocks, Bonds, Mutual Funds
-
Other Investments (pension, profit sharing, property)
-
Group Life Insurance
-
Personal Life Insurance
-
Other (Social Security)
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