Life Insurance
Before choosing a life insurance policy, it’s essential to evaluate your personal and financial situation by considering these questions:
- What are your financial obligations? Consider your mortgage, debts and other financial commitments.
- Do others rely on you for support? Think about the people who count on your financial support, such as children and other dependents. Consider how you support loved ones, even if you don’t earn income. For example, you may provide in-home childcare for your family.
- What are your long-term financial goals? Think about future expenses such as your children’s education or retirement funds.
Understanding your needs will help you determine the type and amount of coverage required. This assessment lays the groundwork for choosing an appropriate insurance policy.
Understand the Types of Life Insurance
In Illinois, as in other states, there are two main types of insurance policies, including the following:
- Term life insurance provides coverage for a defined amount of time, typically 10, 20 or 30 years. If the insured person dies while the policy is in force, their beneficiaries can apply to receive the death benefit. This type of insurance is generally more affordable than other life insurance types.
- Permanent life insurance, including whole life and universal life, is designed to provide lifelong coverage. These policies may also include a cash value component that may grow in value over time. Some policies allow the policyholder to borrow against the cash value according to the policy’s terms.
Compare Insurance Quotes
Each insurance company has its own pricing structure, underwriting guidelines and policy options. Your agent can help you choose an appropriate policy and compare quotes to find favorable rates.
Contact Illinois Insurance Family in Chicago, Illinois, to learn about your life insurance options and compare personalized quotes.