Here’s What Your Broker Wants You to Know About Life Insurance

Choosing a life insurance policy can seem complex. Thankfully, The Ryan Insurance Agency is here to help! Our team can answer your questions and tell you what you need to know before picking a policy.

Policies Come in Many Types 

Life insurance has many expiration dates, which can dictate how well they work for you. For example, some have a 10-20 year date and are better if you’re a little older. Some will last for your whole life, which is a strong option if you want to stay fully protected. 

Tax Laws are Favorable to Life Insurance 

If you worry about investing your policy and making money, remember that tax laws look favorably on life insurance. They often take minimal to no money from these policies, meaning that you can avoid losing out on too much of your costs by investing in them.

Investment Fees Matter 

Don’t ignore the potential impact of investment fees on your policy. Too many people don’t realize that investment fees can impact their coverage. We want you to know exactly what you’re getting into here, so make sure that you research your payments to avoid getting surprised.

Commissions are a Part of This Process

We want our Clarkston, MI, customers to understand that we get commissions when we sell policies. That’s important to know because it may impact how you approach your purchasing process. Talk to us, and we’ll tell you exactly what to expect here. 

Buying a Worthwhile Policy 

Don’t hesitate to contact us at The Ryan Insurance Agency if you need help finding a life insurance policy in Clarkston, MI. Our team will sit down with you, discuss what to expect, and give you the long-term support you need. It’s our goal to ensure that you’re satisfied. 

What You Need To Know Before Buying Your First Life Insurance Policy

Taking control of your future financial planning involves more than just investing in your retirement savings. Life insurance will also play a big part in your financial future. It’s never too early to start thinking about these critical financial steps. At The Ryan Insurance Agency, serving Clarkston, MI, and the surrounding areas, we are here to help you make these crucial decisions. Keep reading to learn more about life insurance. 

Do I Need Life Insurance?

Life insurance is a smart choice for any adult, and it is essential to adults who have dependents. In the event of your passing, your family will be left with certain expenses to pay for your burial. A life insurance policy can help cover these expenses. If you were an income earner for your dependents, those dependents would then be left with other financial needs as well. A life insurance policy can help to provide money for their needs in the absence of your income. 

How Much Insurance Do I Need?

Life insurance policies can come in different amounts. To determine the amount of life insurance you should purchase, you will need to consider precisely what goals you hope the policy will accomplish. Some people wish to have enough life insurance to cover their final expenses, while others hope to provide enough money to care for their families for many years. 

You can sit down with a life insurance expert to help you determine how much coverage you need for your goals. 

If you want to learn more about life insurance, please get in touch with us at The Ryan Insurance Agency, serving Clarkston, MI, and the surrounding areas. We will be happy to answer your questions today. 

Protect Your Family’s Future with Life Insurance

Do you ever think about what would happen to your family in the event of your passing? Would they be financially secure? If you live in or around the Clarkston, MI area, the Ryan Insurance Agency can provide the protection your family deserves.

Life insurance is a means to help protect the future of your loved ones. If you have a savings account, it is doubtful that it will be enough to support your family for years or decades.

There are three types of life insurance.

  • Term life insurance offers coverage for a specific period, usually 10-30 years. Coverage expires at the end of the term.
  • Whole life insurance does not expire as long as the premiums are paid. It has a cash value component with growth potential. The cash value can be borrowed from, but withdrawals and loans may result in an income tax liability, reducing the policy’s cash value and death benefit.
  • Universal life insurance is similar to whole life, as it does not expire if the premiums are paid and have a cash value component. You can adjust the monthly premium and death benefit with universal life. Increases in coverage are possible.

Life insurance can replace lost income. If you lose your job, and life insurance is a benefit offered, you lose that too.

Certain types of debt do not disappear upon death. Your loved ones may have to use money from your death benefit or sell assets to pay them. The policy can pay credit cards, mortgages, and other debts.

Funerals can be costly. Some of the death benefits can be used to pay for it.

Contact the Ryan Insurance Agency today if you would like a no-obligation quote or answers to any questions. You will be glad you did.

Pros and Cons: Term Life Insurance

When it comes to life insurance, term life insurance is one of the most straightforward policies to understand. You choose a period – usually 10, 20, or 30 years – that you wish the policy to be active and how much coverage you would like to purchase. Should you pass away during the active period of the policy, your named beneficiaries will receive their portion of your death benefit. Because term life insurance is only valid for a specific number of years, it is less expensive and more easily attainable than whole life insurance. When shopping for life insurance, you’ll want to determine how much coverage you need to purchase.

Recently, many financial professionals recommend that customers use the DIME method to determine how much coverage is needed. DIME is an acronym that means Debt, Income, Mortgage, and Education. Start by adding your debts that will need to be paid when you die, including credit cards and student loans. Next, you’ll look at income, any remaining mortgage balance, and future educational needs, such as funding college for kids.

While there are numerous benefits to term life insurance, it has disadvantages. If you pass away outside of the policy period, you will not receive any death benefits. It does not include a cash value component like whole life insurance does.

Life insurance does not have to be complicated. No one understands the different policies and their complexities better than the knowledgeable professionals at The Ryan Insurance Agency in Clarkston, MI. Call us today to schedule a no obligation and complimentary consultation to learn more. 

When Should You Buy Life Insurance?

Life insurance is never a priority for most people in Clarkston, MI. Specific age calls for specific financial planning, which makes it challenging to prioritize life insurance. In your 20s, you’re a graduate looking for a job, in your 30s, you’re already married with a mortgage, at 40, you’re planning your estate, and at 50, you’re thinking about retirement.

 At the Ryan Insurance Agency, we advise our customers to buy life insurance anytime they feel they have a reason to do so. Of course, there is no right time to get the policy, but there are a few questions you need to ask yourself when deciding to buy life insurance.

Do you need life insurance in your 20s?

There are so many reasons to buy life insurance at this age. Your responsibilities are fewer as you’re just settling into adult life. You’re young, strong and healthy, meaning that you will pay lower premiums than older adults.

Do you have debts that will take a long time to pay?

If you have long-term debts like a mortgage, you can buy term life insurance to help pay back the debts to avoid burdening your loved ones when you’re gone.

Do you have children or plan to have a child?

If you’re looking forward to being a parent, you now have someone depending on your income to live.  Being a parent comes with many financial responsibilities, and if something happens to you, your children will feel the weight of taking care of themselves.

Is your job high-risk?

Life insurance is designed to protect your family financially if something happens to you. If you work in a dangerous environment, you have a higher chance of dying than someone working in an office. If your Clarkston, MI employer hasn’t organized your life insurance already, you might want to buy ten times your annual income as your death benefit.

Don’t forget to seek advice from a professional at The Ryan Insurance Agency to examine and analyze your life insurance needs. We also help take you through the purchase process so you can have the peace of mind you deserve. Call us today!

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.