How Life Insurance Can Make or Break Your Family
The importance of having life insurance goes up when you have people depending on you – like kids or old parents, or if you have mortgage or debt to pay. The question of ‘why do I need life insurance’ has been answered a lot of times. But if you need a few more reasons, then the following stories should help.
We Should Have Gotten Life Insurance While Planning The Baby
When I got pregnant, my husband and I knew that we had to re-prioritize many things. Getting a life insurance was on top of our priority list. We took our time studying different policies that were available and requested for affordable quote for the shortlisted ones. Following that, I went for my medical exams.
A few weeks after that, our agent got back to us and informed about the adjusted rate, which was significantly higher than the original quote. I was told that the change was a result of my medical exam results. The reports said that there was a spike in my cholesterol levels which affected the life insurance rates. Though it was nothing to worry about, the doctors said that it was common pregnancy phenomenon and that the figures would go down after I gave birth. This was a temporary condition during pregnancy, but it resulted in our inability to buy the policy.
We realized that it would have been much better to start this process before we conceived so that temporary roadblocks like this didn’t affect us in the long run. There are very few companies who account for certain temporary pregnancy conditions, but most don’t, which will affect your ability to get the best rates. Regardless of planning so much, we couldn’t buy the policy for my son, who is four months now. I am waiting for my reports to come back to normal, after which we will start the process again.
How Life Insurance Averted Financial Strain on My Family
When I was a kid, my family was doing really well. My father had a successful business and mother was a stay-at-home mom. If my dad handled all things business, my mother called the shots at home. She did an amazing job handling the household expenses, mortgage and other paper work for our new home and ensured that all the bills were paid on time. She went one step further and looked into my father’s life insurance coverage through his job and realized that the basic policies weren’t enough to support our family of 6. She took into account miscellaneous factors such as living expenses, mortgage, loans etc. and calculated how much additional insurance we needed in case something were to happen. Based on her calculations, she took out an additional term life policy to cover my father and a whole life policy for herself.
This simple act turned out to be a life-saver for our family. Few years down the line, disaster struck us and we lost our father to a horrible road accident. Though emotionally it was a very tough time for us, our mother’s decision ensured that we didn’t have a tough time financially after his demise. The life insurance covered the necessary bases – we still stayed in our house, paid mortgage on time, all of us completed our education and led a comfortable life, all thanks to life insurance.
If you have any kind of insurance-related dilemma or have a story to share, please reach out to us. We, at LifeCentra, will assess your unique situation and assist with the suitable solutions. Additionally, we will help you understand all you need to know about life insurance types.