Insurance 101: Everything You Need To Know About Life Insurance

Everything You Need To Know About Life Insurance

Protect your family and check out this guide to life insurance!

Life insurance is a vital aspect of keeping your family safe after you’re gone. However, with all the different kinds of policies and differing types of coverage, it can be hard to navigate through the complexities of life insurance. Make sure that you get the right life insurance and check out our guide to the basics of life insurance.

What is life insurance?

Life insurance is a contract between yourself and an insurance company. In exchange for payment, the insurance company will pay benefits out to designated loved ones upon your passing. It ensures that your family is always taken care of after you’re gone.

What types of policies are available?

There are two main categories of life insurance: term and permanent. Within each category, there are subcategories that are more attuned to your specific needs. In short, however, term policies provide the policyholders with insurance for a set period of time. After the term is up, investment in a new category is required. A permanent policy is a policy that’s good for life.

Are there affordable policies?

While you may think that you can’t afford life insurance, that’s not necessarily the case. Life insurance can be affordable if you find the right policy. Generally, term policies are more affordable than permanent policies and can cost as little as a few hundred dollars per year.

How much coverage do I need?

The amount of coverage you need is determined by your lifestyle and your financial demands. If you’re retired, stable financially, and don’t have any dependents, you likely don’t need lots of coverage. However, if you have a family to support, along with a mortgage, and college tuition to pay, you likely need a policy with a bit more coverage. Make sure to consult with an expert to find the policy that best suits your needs.

Ensure that your loved ones will be taken care of with the right life insurance. Contact the professionals at Brown & Brown Insurance to help find the best policies for your lifestyle. Located in Anaheim, California, we serve all your personal and commercial insurance needs.