8 Common Questions About Life Insurance To Make Sure Your Loved Ones are Covered
ERIE, Pa., Feb. 10, 2021 /PRNewswire/ -- February is the time of year when store shelves are full of chocolate and candy hearts as Valentine's Day approaches. February is also "Insure Your Love Month," by Life Happens. It's a way to remind you that getting life insurance today can ensure your loved ones are protected financially in the future.
Erie Insurance answers eight common questions you may have when considering the right coverage for you and your family.
- How much life insurance do I need? Your age, debts, monthly expenses and number of children can influence how much life insurance you may need to comfortably plan for your future. A local insurance professional, like an ERIE agent, can give you a free quote based on your unique needs. As a general rule of thumb, the experts at Life Happens recommend purchasing a policy worth 10 to 15 times your gross income. Try out our free life insurance calculator for a private, no-obligation estimate.
- Isn't life insurance really expensive? Purchasing an insurance policy worth hundreds of thousands of dollars may sound like an expensive proposition. But the truth is, life insurance is more affordable than you may think. With Erie Family Life, a $250,000 life insurance policy could cost less than $15 a month.
- Do I need a medical exam to purchase life insurance? Not always, but do expect to answer certain questions. Generally speaking, it's more likely you'll need an exam as your age and/or the amount of coverage requested increases. For some life insurance policies, your insurer will require a brief medical exam, more commonly referred to as a paramedical exam. Ask your local ERIE agent about ERIExpress Life. If you're between the ages of 18-55, you could get this instant-issue policy by answering several application questions without having to complete a paramedical medical exam.
- Why should I think about life insurance if I'm young and healthy? Life insurance is a smart purchase at any age. Even if no one depends on your monthly income, a life insurance policy will cover your funeral expenses and debts — including student loans. And there's another advantage of purchasing a policy at a young age: lower rates. With a Guaranteed Insurability Option you can lock in a lower rate while you are young and healthy, making it possible for you to purchase additional insurance later without having to answer medical underwriting questions – a relief for many.
- I have a policy through work. Isn't that enough? As part of an overall benefits package, many employers offer some form of life insurance coverage to their employees. Since this coverage is typically paid for by the employer, it's a great benefit to have. But it's still wise to hold your own personal life insurance policy. The coverage provided by your employer might not be enough, and your coverage will be lost if you take another job or find yourself unemployed.
- I don't work outside the home. Why should I think about life insurance? Being a stay-at-home parent is a full-time job. And while your work may not generate an income, it does significantly reduce your household expenses. Think of all the extra costs associated with childcare, transportation and meal preparation that would be incurred if you were no longer around. Just because you don't bring home a paycheck doesn't mean you aren't making a significant contribution to your family's bottom line. Read more about life insurance for stay-at-home parents.
- What is a life insurance beneficiary? A beneficiary is a person or entity designated to receive the funds from your life insurance policy in the event of your death. Your beneficiary can be a person, business, trust, charity, church or even a school. An insurance policy can have more than one beneficiary. Read our related article on how to choose a life insurance beneficiary.
- I don't have kids. Why should I think about life insurance? The need for life insurance isn't limited to parents. Whether you're entering adulthood or nearing retirement, everyone can benefit from owning a life insurance policy. Beyond providing for children, a life insurance benefit can be used to cover expenses like funeral costs or pay off any outstanding debts.
Planning for the future can feel exciting and scary at the same time. Whether you're buying your very first policy or planning for the next chapter of your life, ERIE is here for you. Your local agent can help you consider the variables, lay out the options and make the process comfortable and efficient.
Learn more about life insurance options from Erie Family Life or talk to your local ERIE agent for a free quote.
Erie Insurance Group
According to A.M. Best Company, Erie Insurance Group, based in Erie, Pennsylvania, is the 11th largest homeowners insurer and 12th largest automobile insurer in the United States based on direct premiums written and the 16th largest property/casualty insurer in the United States based on total lines net premium written. The Group, rated A+ (Superior) by A.M. Best Company, has more than 6 million policies in force and operates in 12 states and the District of Columbia. Erie Family Life Insurance Company is rated A (Excellent) by A.M. Best Company. Life insurance policies not written in New York state. Erie Insurance Group is a FORTUNE 500 company.
News releases and more information about Erie Insurance Group are available at www.erieinsurance.com.
SOURCE Erie Insurance Group
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