Maybe you just got married. Or had your first child. Or started a business.
Whatever the life event is, you are now buying life insurance for the first time. And that might intimidate and confuse you a little.
Help ease your mind by reading the following advice for anyone who is buying life insurance for the first time.
1. Understand who (or what) you’re protecting. Major life changes like getting married, starting a family or buying a house are often when people think about buying life insurance for the first time.
While anyone experiencing a significant life event like getting married or starting a family often recognizes the need for life insurance, others may not realize they could benefit from it as well. For instance, did you know that stay-at-home parents and student loan cosigners could have a definite need for life insurance? A Colonial agent can help you figure out who and what you need to protect.
2. Only buy what you can afford. Many people are surprised at how much life insurance they really need to protect the people and things they love most. Yet it’s a mistake to forgo any coverage at all if you can’t afford the plan you want. Something is definitely better than nothing, and you don’t need to purchase the best plan to take care of your family. (Need more good news? Life insurance is probably more affordable than you think.)
3. Think through your beneficiaries. A life insurance beneficiary is the person or entity you name in your life policy to receive funds in the event of your passing. Your beneficiary can be a person, business, trust, charity or even your church. And, you can have more than one. It’s important to make sure you think through who your beneficiaries are and if any proceeds meant to benefit a minor should be held in trust.
4. Get a will. Having a will can help ensure that life insurance proceeds are properly dispersed.
5. Buy from a financially sound company. You want the backing of a financially strong insurer if you or someone you love needs to call on the life insurance policy. Colonial Insurance Agency works with a variety of carriers who are all well rated, so you can feel confident that you are in good hands.
6. Learn about life insurance. While an insurance agent can certainly help you navigate the world of life insurance, it also helps to have a working knowledge of it.
7. Work with a licensed insurance agent. A knowledgeable and professional insurance agent can offer trusted guidance when it comes to finding the right life insurance protection at the right price. An insurance agent is also a trusted person your family can turn to in a time of need. At Colonial Insurance Agency, our staff has an average of 18 years’ experience and understand how important the right insurance is to you. To learn more about your life insurance options and to get a free quote, contact one of our agents today!
Original article by Amanda Priscak. Read more at ErieInsurance.com.