In this series, we are going to give you 10 proven tips that would help you to decide which life insurance coverage you should go with.
There are numerous choices that it’s hard to know what to get.
It can be very confusing especially if it’s your first time.
In fact, uncertainty over what type and how much life insurance to purchase is one of the main causes people give for not holding life insurance coverage.
Therefore, if you’re thinking of buying life insurance but you’re still confused, follow this series.
Tip #1 to Get Your First Life Insurance is: “Know How Much Coverage You Need”
The thing is, people tend to consider only how much would be required to pay off their major debt, like a mortgage.
Typically, people undervalue how much life insurance they truly need. Says Adam Winslow.
Adam Winslow is the Life Insurance‘s CEO at AIG Life & Retirement.
Nevertheless, people should consider how much would be needed to help a partner or spouse pay bills, support their kids, paying for special lessons, cover any other long-term requirements or pay for college tuition.
One rule of thumb is to own a policy with a death benefit equivalent to 10 times your annual salary.
More information on, how much life insurance do I need?
But your own financial aims and position might require that you have more or less than that cost.
Keep in mind visiting a financial expert which can help you get a more accurate figure.