There are many myths surrounding life insurance that can cause you to think twice before buying. Before you decide, call an agent to know the truth, and then work together to find an insurance policy that works for you and your family. Here are some common myths about life insurance that we have debunked.
- Single and No Dependents, No Need for Life Insurance
Just because you are single with no dependents, it doesn’t mean that you don’t have financial obligations. Student loans, car loans, and your final expenses will still need to be paid off after your death.
- It Costs Too Much
Despite what many people think, you can find many life insurance policies that are quite affordable and may actually allow you to borrow money from them after you have built up a sufficient amount of equity.
- I Need to Have a Policy That Is Twice My Yearly Salary
This may be a good plan to start with, especially if you have small children and a large amount of debt. If you really want to know what you need, prepare a budget that shows you what money comes in and what is paid out each month. Every family’s finances are different. Get to know your cash flow.
- Premiums Are Tax-Deductible
Your life insurance premiums are rarely tax-deductible. Even though you may look at them as a tax-deferred investment, that isn’t how the IRS looks at them. Your premiums are not a part of doing business. They are to help you protect your family if your business interests and income are no longer available to them.
- Only the Breadwinner Needs Life Insurance
The breadwinner is not the only family member who needs a life insurance policy. If your spouse stays at home to care for the family, they need coverage too. They are responsible for many tasks that you will have to pay for if something were to happen to them.
- Health Problems Equals No Life Insurance
One of the biggest myths involving life insurance is that people with health problems cannot get life insurance. That isn’t necessarily true. You may be able to qualify for life insurance, but you will have to pay a higher premium for the same policy.
- Investing Is Better
Contrary to many people’s opinions, investing is not always a better option. Investing involves a higher risk of loss, while a life insurance policy allows for slow and steady growth over a longer period and the ability to accumulate equity over time.
- Older Individuals Can’t Get Life Insurance
It’s commonly believed that older individuals can’t get a quality life insurance policy. Although they may have to pass a physical exam, most people over the age of 65 can still qualify for some types of life insurance.
- I Can’t Afford to Hire a Broker
If you have been told you can’t afford a broker, you may want to think again. If you work with a broker, you will be able to find the best policy for your needs. They have access to multiple careers and can help you comparison shop to find the best deal.
- Deals Are Better Online
If you buy life insurance online, you may get a better price, but you give up personalized service and customizable policy. Working with a broker gives you someone you can talk to on your own terms.
If you are looking for quality life insurance and want to learn more about the common myths circulating, contact us today. At Gee-Schussler Insurance, we have the experience you are looking for to make a wise decision so that you can protect your family. Our team of professional agents will help you get the best life insurance policy for your needs.
