Many people forego buying life insurance because they feel they're too young to start making end-of-life plans. Others see little need for it since they don't have a spouse or dependents or because they have an employer-sponsored deal. However, even younger people, those covered through work, and individuals without dependents can benefit from the right policy. To help you understand how, Kleppinger Insurance, a respected insurance agency in Bethlehem, PA, encourages you to consider the following questions they often hear.

Insurance Agency Shares Common Inquiries

1. Why Buy More if You're Covered Through Work?

Most work-sponsored plans pay a benefit based on an annual salary, which may not be enough to meet your financial goals. For instance, if you intend for the policy to cover the mortgage, living expenses, and the cost of your children's education, then consider purchasing an additional amount through a private insurance agency.

2. Why Purchase Life Insurance in Your 20s?

The cost of this plan rises steeply as you get older. If you buy permanent insurance while in your 20s, it’s easier to lock in a low monthly rate for life. Otherwise, premiums can increase 5–8% per year through your 40s and as much as 12% per year after age 50.

3. How Is Term Life Different From Whole Life?

Term life is a temporary coverage that lasts only for a set number of years, typically 10, 20, or 30, at which time it expires and must be renewed at a higher rate. It is less expensive than whole or universal life, which are permanent plans that last until death without ever changing rates. Term life also does not offer the investment options you get with permanent policies.

4. What Is a Whole Life Investment Arm?

With permanent life insurance, a portion of the premium is invested for long-term growth to create wealth you can withdraw during retirement. In other words, recipients can enjoy some of the benefits of the policy while living.

5. Does Life Insurance Include Disability Coverage?

Individuals can purchase a disability rider with most life insurance policies. It pays out if you become disabled during its term. Other similar options include the accelerated death benefit, which lets you collect a portion of the funds if you're diagnosed with a short-term terminal illness, and a critical illness rider, which pays out if you are diagnosed with one of a list of diseases, including stroke, heart attack, cancer, or kidney failure.

Life insurance is a great way to protect your loved ones, guard against disability, and even save for retirement. To discuss the options with an insurance agency, contact Kleppinger Insurance in Bethlehem, PA. They offer invaluable guidance and exceptional customer care and will help you design a policy that fits your lifestyle and financial needs. They also specialize in homeowners, business, and auto insurance. Visit the website to view business hours and a map to their office, or call (484) 357-1485 today speak with an agent.