Here are the top 5 reasons why you need to stop procrastinating when it comes to purchasing life insurance
1. You love your family members and want to protect them. As the old adage goes, “there are only two things in life that are certain: death and taxes”. Life insurance can offer protection you with respect to one or even both of these certainties. Life insurance replaces income that you would have earned and protects your spouse and children’s financial future. Also, it can protect your heirs from estate taxes, for those who are subject to them. Life insurance protects your families or business financial well-being even after you’re gone.
2. Rates are increasing. No, really.. Low interest rates mean a significantly lower return on investment income and higher reserve requirements for insurance companies. To counter this, many insurers are increasing rates. This year, many of the top life insurance companies rates including Prudential, Banner (Legal & General), ING ReliaStar and Genworth to name a few, have already increased their rates. However, there are some excellent rates still available.
3. Popular products are being dropped or suspended from the market. Recently, ING ReliaStar announced they are suspending their 25 & 30 year term products “in light of the ongoing and historically low interest rate environment”. Other insurers like Genworth Life Insurance Company and AXA Equitable have already pulled their 30 year term products off the market. Other companies are suspending popular products as well.
4. You are getting older. Unfortunately, none of us will be younger than we are today, and most of us won’t be healthier in the future than we are today. Since life insurance rates and eligibility are largely determined by your age, build, and health, now is the best time to purchase life insurance. Just as you can’t call an auto insurance company the second you wrecked your car and tell them you want to insure it for the full value of the car or call an insurance company while your house is on fire to insure the to the full value of the home, the same principle applies to life insurance.
5. Peace of Mind. By purchasing a solid life insurance policy, you will have daily peace of mind knowing that your spouse and/or children will be financially protected (i.e. your income will continue, mortgage can be paid off, business can continue to run or be sold at a fair price, children’s education taken covered) in the event of an unexpected tragedy.
While purchasing life insurance may not be at the top of your to-do list, it is nevertheless a critical part of any financial plan to protect your spouse, children and legacy. The best time to buy life insurance is now. Spending a few minutes to secure life insurance can provide you with a lifetime of peace of mind knowing your family is protected.