3 Common Life Insurance Myths

Not many people like to think about it, but everyone will likely need Chicago life insurance at some point in time. These insurance policies ensure that your funeral costs and debts are taken care of after you’re gone. It’s also often necessary for these policies to take care of your family in the event of your death. Unfortunately, there are several myths floating around about life insurance. These myths may cause a person to get minimal or no life insurance at all, and unfortunately, individuals who believe this are often not around to find out that they’re wrong.

Your Term Life Insurance Policy at Work is Enough

This is less of a myth and more of a maybe. There are some individuals whose life insurance policy through their employer will be sufficient in the regrettable event of their death, but many people are not this lucky. If you happen to be a single person who hasn’t accrued much debt in your lifetime, then your employer’s plan may be good enough. Unfortunately, this is not often the case.

An individual who has debt, dependents, or expects to have to pay estate taxes after his or her demise should likely get an additional life insurance policy. Postmortem debts and taxes will likely eat up most, if not all, of an employer-provided policy. This will leave your spouse, family members, or executor the unhappy task of covering all of these debts. Having an additional policy is also ideal for a person who wishes to take care of their family when they’re gone.

You only need Life Insurance if you’re the Breadwinner

Many people who are not the main income source of a family believe that only the breadwinner will need to get life insurance. This belief, however, can leave your family between a rock and a hard place after you’re gone. Even if you aren’t the head provider in a family, your funeral costs are going to cost the same amount. Your debts will also still exist after your demise, so life insurance is necessary for everyone.

Another thing that secondary income providers sometimes fail to recognize is the jobs that they do handle in a home. Once this person is gone, the surviving spouse will have to start paying for things like cleaning, daycare, and transportation for dependents. It’s unfortunate that many people don’t realize how important they are just because they’re not a family’s main source of income.

I don’t need Life Insurance because I have no Dependents and I’m Single

It’s unfortunate for a family when their loved one has this belief. Even if you have no dependents, your death will still lead to medical and funeral costs. Any debts that you have will also still be around. All of these expenses and debts will once again fall on your family or executor if you pass on. No one wants to leave a legacy of high costs and debt behind, so even single people should invest in life insurance.

It’s unfortunate that so many people actually believe in the aforementioned myths. These beliefs often leave an already mourning family in financial turmoil. If you don’t have life insurance by now, you should definitely look into getting a policy. It’s also important to ensure that any policy that you do have is sufficient for final expenses. Having an adequate life insurance policy will ensure that your family doesn’t have to handle more than is necessary after your death.

Give us a call for a free quote on an insurance or supplemental life insurance policy at 708-597-2800.