Are you prepared to protect your family?

No matter where you are in life, one thing is certain: If someone depends on you financially, then you need life insurance.  Why?  Life insurance provides critical support in the case of premature death – so loved ones won't be left wondering how to meet financial obligations.

Life insurance can also play a key role in sustaining a small business, paying for college and supplementing your retirement.  Later in life, it can help transfer your wealth to the next generation. Some scenarios that may affect your life insurance needs include:

• I’m just starting out
• I’m single
• I’m managing a growing family
• I’m a stay at home parent
• I’m a single parent
• I want to leave loved ones the most I can
• My children are self-sufficient
• I’m a business owner
• I’m supporting aging parents

Raising a Family

Raising a child is one of the great joys – and challenges – of life. And since it is impossible to predict the future, it is incumbent upon you to make certain that your family is properly protected.

Key Issues

As a parent, you'll have new financial responsibilities. Begin by reviewing and estimating future expenses. You may need to consider the costs of buying a new house or funding an education.

Now is also the time to re-evaluate your insurance coverage. A life insurance policy can be an important part of a family’s safety net. Whether you buy a permanent or term policy, life insurance is one of the best guarantees you can have to help protect your family’s future.

Make sure you have enough coverage. There are several strategies for estimating the amount of protection needed, including:

• Income: your insurance need is estimated to be six to eight times that of your gross annual income.
• Income plus expenses: your insurance need is based on five times that of your annual gross income plus your outstanding debts, such as mortgages, credit cards and loans.
• Estate preservation and liquidity: you calculate the insurance needed to cover estate taxes, fees and expenses at the time of your passing, and provide additional tax-free income to your beneficiaries.

Also, give careful thought when naming your beneficiaries. Most insurance companies allow a primary, secondary and final beneficiary. It is advisable to name all three and be sure to review your investment, retirement, and estate plans periodically.