Tips on How to Budget for Life Insurance
Purchasing Life Insurance to Fit Your Budget
When you have a tight budget, it’s tempting to skip buying insurance. After all, why spend money on something you cannot hold, and it doesn’t provide the basic needs of food, clothing or shelter? What you get when you buy life insurance in Thousand Oaks, CA is protection from financial catastrophe. Life insurance is designed to protect your loved ones when you are no longer around to do so. Even if you’re on a shoestring budget, you can find life insurance to suit your needs. Here’s how.
- Determine what you need
Stop thinking of life insurance as a big payout for your family if you were to pass away suddenly. It’s your life that you’re insuring. If you are the primary source of income for your family, have a business or have dependent children, your life insurance will need to be bigger. This results in higher premiums to pay. If you have no kids, are single, or your spouse is the breadwinner, you can opt for a smaller policy.
- Consider term insurance
Term life insurance covers you for a certain number of years, such as 5, 10, 30 years, and is one of the most affordable policies out there. If you survive the term length, you will have to renew your policy. If you want permanent coverage, there is the option of a whole life policy, but this comes with steeper premiums. The benefit of a permanent policy is that it covers you for your entire life, has stable premiums, and builds up cash value that you can borrow against.
- Change your lifestyle
Quite simply, life insurance companies don’t want to risk their money if your health is feeble. Consider improving your health by quitting smoke, losing weight, and eating a healthy diet.
- Purchase insurance now
The younger and healthier you are, the lower your insurance premiums will be. That’s why it pays to purchase life insurance sooner rather than later! Consider taking out a simple policy before you think you need it.
Falsken & Associates Insurance Agency can help you determine how much life insurance you need and which insurance type to buy. We serve Thousand Oaks, Westlake Village, and surrounding cities in California – Give us a call to get started.