You may be on the fence about purchasing life insurance and weighing the cost against the benefits. The peace of mind that accompanies this coverage far outweighs the affordable expense. Below, American Liberty Insurance Agency, a respected seller of life, long-term care, and Medicare Supplement Insurance in West Salem, WI, discusses some of the advantages.
The Benefits of Life Insurance
If you have student loans, a mortgage, or significant credit card debt, a life insurance policy can be used to pay them off. That way, your survivors are not saddled with the high monthly payments and compound interest associated with large loan balances or consumer debt.
The death benefit of a life insurance policy can be used to pay for college tuition and other educational expenses. If you have plans to help your children or grandchildren attend university, a policy could help you achieve this goal even if you are not there to contribute financially.
3. Estate Taxes
After your estate is transferred to your beneficiaries, they could find themselves scrambling to come up with the cash to pay the inheritance taxes. This could mean they must sell cherished heirlooms or items of great sentimental value. If your estate is not highly liquid, meaning it does not include a lot of readily available cash, a life insurance benefit could help them cover the tax burden.
4. Final Expenses
Similarly, your survivors could have to take on thousands of dollars of unexpected funeral and burial expenses at a time that is likely already traumatic. Unless you have otherwise planned for them, a life insurance policy is an effective solution to these sometimes-costly expenses.
Life insurance provides several important benefits and should be a central part of most people's financial planning. For expert guidance, contact American Liberty Insurance Agency in West Salem, WI. They have over 30 years of industry experience and have been serving customers throughout La Crosse County for decades. Visit their website to view a map and business hours or call (608) 786-3355 to request an insurance quote.