Are you thinking about whether or not you need a life insurance policy? While this term is far from foreign, not many people know which events trigger the need for this coverage, or how much one should have. Luckily, Wilmoth Insurance Agency has been providing quality insurance products to their Cookeville, Tennessee, clients since 1939. Well-versed in everything from auto to homeowners insurance, they also specialize in helping clients find the best life insurance policy to fit their needs. Below, they’ve answered four frequently asked questions about this coverage.

4 FAQ About Life Insurance Answered

Which Kinds of Life Insurance Should I Consider?

There are two types of life insurance, one of which is called term life insurance. This policy provides a fixed amount of coverage for a set period within your life. These policies tend to come in 10-, 15-, or 30-year periods. The benefit pays out when the insured passes away. Whole life insurance is coverage that lasts as long as you live. The benefit for these policies fluctuates and can include cash value benefits, investment characteristics, and other assets. 

Why Do I Need Life Insurance?

Life insurance is designed to protect remaining family members who will be adversely affected if one or both primary breadwinners pass away. Expenses such as mortgage, education, and medical expenses can all be accounted for with this type of policy. If a primary breadwinner dies, the quality of life for those left behind will not be impacted from a socioeconomic standpoint.

Can I Increase the Amount of Coverage I Have?

Depending on the type of policy you have, many insurance companies require a medical checkup and certification to determine if you qualify for additional coverage. In general, you can purchase as much life insurance as you like. Just make sure the dollar amount matches your family’s needs should you pass.

How Much Should I Buy?

This is a discussion to have with a qualified insurance agent. In essence, it’s best to buy a policy that will cover your family’s quality of life should you pass. If you have young children, you might want to account for college tuition. Each scenario varies depending on family makeup and needs, so consult a professional for advice.

If you’re considering shopping around for the best life insurance policy to fit your needs, it helps to reach out for guidance. The caring agents at Wilmoth Insurance Agency will pair you with the best coverage for your lifestyle. Call them today at (931) 526-6181 or visit their website for more information about life insurance.