The Realities of Life Insurance

Many families in Clarkston, MI have tried to buy life insurance from The Ryan Insurance Agency, only for them to tell us about the many myths surrounding this policy. The current nature of the life insurance industry is that most customers do not have the important facts that can help them when it comes to buying such policies. Here are some realities of life insurance that can help customers to make good decisions. 

Understand Term and Whole Life Insurance

Term life insurance covers a period of time while whole life covers the entire period of your life. The two policies are good, but whole life insurance is the costlier of the two, and most people cannot cater to the premiums of whole life insurance. Understanding the two policies will help you to choose the best concerning your financial status. 

Life Insurance is Product and Not Investment

Many people have a perception that life insurance is an investment whereby they will be getting some financial returns after a specific period of time. However, from the planning and execution of insurance policies, it is important to indicate that insurance is a product and not an investment.

The Earlier You Buy, The Better

A huge number of people wait for many years before they can buy life insurance with the argument that they are saving on premiums. This is always a huge lie because buying life insurance at old age will attract larger premiums. Therefore, it is always necessary to buy life insurance when one is still young.

If you live in Clarkston, MI, and you want to understand more about life insurance realities, you can contact professionals at The Ryan Insurance Agency, where you will get the best guide on life insurance. 

How much life insurance is enough

It would be great if anything in life prepared you for discussing life insurance. Your parents aren’t going to pull you aside and have a talk with you about life insurance. You won’t take a class in college called Life Insurance 101. When it comes to deciding how much life insurance is enough, you will have to rely on your independent insurance agent. At The Ryan Insurance Agency in Clarkston, MI, we have an experienced team here to help you find the insurance you need. 

If you are young and unattached, your need for life insurance is minimal. This is ironic since this is the best time to invest in insurance since rates are the lowest they will ever be. You may have some life insurance provided by your employer, and taking a good look at it is a good thing to do. Is it enough to take care of any debt that you have and your final expenses? If it is, you may not need additional life insurance at this time. 

When you get married, your need for life insurance changes, and when you have children, it changes even more. You need to provide for your spouse and children so that they don’t have to change their lifestyle because you are no longer with them. How much insurance that requires depends a lot on how much you earn, whether your spouse works, how many children you have, and how young they are. It is safe to say that you need between 7 and 10 years of your annual income. If you want to provide for their college education, that is an additional amount. 

Life insurance needs are very personal and can be customized to fit your life. At The Ryan Insurance Agency in Clarkston, MI, we will work with you to develop the correct amount of life insurance to provide for your family. 

When is it too late to buy life insurance?

When it comes to life insurance, age is a significant factor. Insurance companies in Clarkston, MI, including The Ryan Insurance Agency, take age as an important factor when calculating life insurance premiums. Technically, it is never too late to buy life insurance, but there is always a catch–it is much more expensive.

How age impacts life insurance

If you wait too long before buying your life insurance policy, you may end up paying higher premiums or end up settling for a policy that you don’t need. However, that does not mean that your life insurance will be any less useful–it will remain a valuable investment irrespective of your age. Therefore, if you are in your golden years or fast approaching them, speak to any The Ryan Insurance Agency agent, and we can help you with useful advice to help you make an informed decision. We can also provide you with a fully customized life insurance policy to fit your needs and budget.

Is it too late based on my health?

If you are diagnosed with a deadly disease, your insurance premiums can hike up to two times the cost of other healthy policyholders. When it comes to health, age doesn’t come into play. It can only be considered when the individual has lifestyle habits like drinking alcohol or smoking at their senior age. However, if the diagnosed person is older than 80 years, it may be challenging to get a decent life insurance policy. In this case, it may be too late.

When should I buy life insurance?

The Ryan Insurance Agency recommends buying insurance as early as 20 when you are just getting your life in order. The sooner you purchase coverage, the cheaper it is, and the better the yields than when you are in your 60s or 70s.

For more information, queries or quotes, visit us in Clarkston, MI today!

Life Insurance Frequently Asked Questions With The Ryan Insurance Agency

At The Ryan Insurance Agency in Clarkston, MI, we want all of our clients in Michigan to understand their life insurance options. Many people do not consider the fact that they need life insurance because it is not a requirement and it often slips between the cracks of so many other things to do each month. We understand, but we also want you to understand how easy it is to purchase a life insurance policy that fits your specific needs. 

Life Insurance FAQs

  • Do both people in a marriage need life insurance or is it enough to just cover the primary bread-winner?  It depends on your individual situation. However, even the spouse who stays at home and provides child and home care will leave a financial burden if they pass because of the cost of filling the role they worked. 
  • How much coverage must I purchase? It really is a personal choice. Many people look to cover their student loans and funeral costs at a minimum. If you have a mortgage, you can get a policy specifically to cover that so your family is left with a home. The limits are up to you. 
  • I am young, do I really need any insurance? The fact is that anything can happen, and if you have minimum funeral coverage, at least you are protecting your family from that burden. 
  • Is it difficult to buy life insurance? It can be as simple as a phone consultation to discuss your needs and lifestyle. 

Contact us at The Ryan Insurance Agency in Clarkston, MI if you have any other questions about life insurance or if you want to start the process of buying a policy to cover your loved ones. We serve Michigan with quality insurance services and are happy to talk with our customers about their real needs, person to person. We are ready to help you get started with a life insurance policy.