Life Insurance

A life insurance policy is a great way to provide for your family once you’ve passed away. No one wants to think about their own death, but it’s sensible to do so. The planning you do while you’re alive can have a profound effect on your family when you’re gone. If you don’t have life insurance, then it’s something you should consider.

The Basics of a Life Insurance Policy

Life insurance provides financial benefits to your beneficiaries when you pass away. It’s for the benefit of those who’ll remain behind after you’re gone. They’ll no longer have your financial support, and this policy is a way to help them survive financially when you’re gone.

Life Insurance is for Anyone

Anyone can benefit from a life insurance policy. Parents buy policies for their kids, people buy policies for their spouses, and so on. But people in dangerous occupations are highly recommended to get coverage. Single parents are encouraged to do so as well. Those people are more likely to have families that depend on them.

How Coverage Works

Your policy covers you either for a predetermined time or for as long as you’re alive, depending on the type of policy you have. When you die, the policy pays a benefit to your beneficiaries. Some policies accrue value, and you can borrow from them before you die. But unless you pay it back, that will lessen the amount your beneficiaries receive.


If you choose a term life policy, keep in mind it will expire. Terms vary, but in most cases, if you live to 95 or 100 then the policy expires. It’s likely that the insurer will return the premium you’ve paid over the years, but you’ll no longer have coverage. If this worries you, then you can choose a permanent policy that remains active as long as you are alive paying the premiums.