When COVID-19 hit, and the world shut down and went home, it seemed to have changed our perspective of life forever. Some of the effects of this change are good. Employers seem to realize that flexibility in work environments still results in meaningful work gains. Other changes weren’t so good. Even if you weren’t directly affected by COVID, there are high chances that someone close to you was.
It seems like daily news was full of a new COVID-19 spike, and we became painfully aware of how fragile life is. After several years of a steady climb, the average life expectancy dropped by 1.5 years following the pandemic. In the wake of recovery, eyes are opened to the necessity of life insurance and protecting your loved ones.
Life Insurance is Protection
Suppose you have a family, a mortgage, or others who depend on you and your financial contributions. The pandemic likely brought up feelings of financial insecurity. At the pandemic’s start, layoffs were catastrophic, with 49 million people filing for unemployment benefits. Of that number, financial obligations didn’t just go away for people no longer employed. They still needed shelter, food, and transportation, but the world sat in uncertainty. Life insurance became a necessity in this time of forced realization that nothing is guaranteed, and it’s better with protection.
Life insurance protects your loved ones and your investments when the unexpected happens. The many options for achieving coverage mean finding a solution for your situation is easy. Let’s look at the different types of insurance and how they could help your family.
Term Life Insurance
Term life insurance is a guaranteed payout in the event of death. The policy pays out in full to cover your expenses, such as the balance of your mortgage, funeral expenses, and remaining debt. When seeking term life insurance, you agree to pay a monthly premium for a set amount of time. Term life insurance is an affordable option for protection and, in general, is easier to obtain. The benefits include:
- Guaranteed payout
- Lower premiums
- No physicals required
- Flexible terms available
Whole Life Insurance
When dealing with the complexities of life, such as extended debts, businesses to run, or the ebb and flow of work, you might need insurance with a more robust set of solutions. Whole life insurance may be an answer if you have an increased need for protection.
While whole life insurance requires a little more work, it also comes with a wider range of benefits. Many whole-life policies have built-in savings associated with them. If you find seasons of life have less cash flow than others, this might be an attractive option. Getting whole life insurance is easier if:
- You obtain it at a younger age.
- You’re in relatively good health.
- You don’t engage in risky behaviors.
The COVID19 pandemic forced us all to take a step back and evaluate what’s important, what needs protecting, and what you can personally do about it. Some of the things we learned had more profound impacts, like the importance of placing family first. Choose the right type of life insurance and rest easier. Keep yours protected by knowing they’re covered if something happens. Contact an agent with PHP agency to learn more about your life insurance options today and get covered.