Life Changes, Should Your Life Insurance Too?

Life is full of unexpected twists and turns; sometimes, those changes can significantly impact your financial security. Life insurance isn’t a fun thing to consider, and it may seem unnecessary. If you have people who depend on you for financial support, then life insurance is really about protecting them in case something happens to you – your designated beneficiary would collect a financial benefit upon your death.

That’s where The Horton Group comes in. We can help you find the best life insurance policy to fit your unique needs and goals.

Types of Life Insurance

Our experienced agents understand that different life events can require different levels of coverage. That’s why we offer a wide range of life insurance options, including:

• Term: This is the simplest and generally the cheapest form. You buy coverage for a specific period of time. It can usually be renewed, but premiums will increase based on age and health factors. There is no cash value.

All other types of life insurance are permanent, but there are several varieties. They all include a savings element that builds cash value in addition to the death benefit. Once that cash value accumulates, it is accessible to the policyholder tax-free. The following are some of the common types of permanent life insurance.

• Whole Life: You purchase this policy to cover your entire life, as long as you keep paying premiums. Premiums remain constant throughout the policy, and the company invests a portion of your premium that becomes the cash value. These are more expensive than term policies in the early years, but they even out because the premium does not increase.
• Universal Life: This policy is similar to whole life but has the potential for higher earnings on the savings component. It is more flexible in terms of changing premiums and face value throughout the policy. There is usually a guaranteed return on the cash value. Disadvantages include higher fees and the possibility of increasing premiums.
• Variable Life: A variable life policy generally has fixed premiums, and you have control over the investment decisions for the cash value portion. However, this is riskier because there is no guarantee for the cash value.
• Key Person Life: Covers individuals who are essential to the company’s success. This person may be a partner, majority stockholder or an individual with unmatched expertise throughout the rest of the company. If this person’s exit from the company is planned, such as retirement or voluntary termination, then you can prepare for the loss and take the necessary precautions to minimize the impact. However, the company will be exposed to financial risks if the departure is unplanned due to a death, disabling accident or quitting on the spot.

How Much Should You Buy?

The Horton Group offers life insurance as part of our benefit package, but it’s hard to know how much to buy. Consider your circumstances: Is yours the sole income in your household? Are there other expenses, such as college tuition, that may arise in the future? Don’t forget to include potential medical and funeral costs. Above everything, you want to be sure your family does not get stuck with bills, debts or expenses they cannot afford.

We’ll work with you to determine the right amount of coverage based on your income, debts, dependents, and long-term financial goals. With The Horton Group, you can have peace of mind knowing that you have the right protection for whatever life throws your way.

Why Purchase Now?

Buying life insurance may seem unmanageable right now, but it could be a smart decision. Unlike many other benefits, life insurance is more affordable now than in the past. Ensuring your family will be financially secure during this tough economic period is more important than ever.