Purchasing a life insurance policy is crucial to future financial planning, but knowing which policy to choose can seem complicated. Not all policies are created equally, and your family’s needs may not match the needs of other families. Deciding exactly how much coverage you will need from your life insurance policy is often a much-needed discussion between you and your direct family members.
Together, you and your family can decide how much financial payout would be needed to support your family in the unfortunate case of your passing. However, getting the conversation started may seem daunting. Many people may be uncomfortable with broaching the subject of life insurance with family members because it acknowledges planning past your life expectancy.
While some may worry about how morbid the conversation can be, the truth is that talking about your life insurance policy can help financially protect your family for years to come. Taking the time to make a plan that benefits your family is a labor of love, and these helpful tips can help guide you through your conversations.
Discuss Family Values
Many times, topics with heavy subject matters can be a struggle to discuss, but often those conversations are some of the most important. The discussion about life insurance is no different. While it may be easy to put off the conversation of life insurance for a later date, the truth is there will likely never be the “right time” to begin the discussion. The talk may start off rocky, but once you begin, you are on your way to planning your family’s future financial security.
As a family, you work together to build a brighter tomorrow for all of you. Family values may vary from household to household, but we all have hopes and goals for our futures. Your life insurance policy could help financially support those goals if you were to tragically be unable to do so because you passed away.
When approaching the conversation of life insurance, try and open the dialogue by presenting life insurance as a financial tool of empowerment and security. Life insurance is not something to be sad about, but rather it is something to give your family peace of mind, knowing they are financially protected if tragedy were to occur. Life insurance can help cover end-of-life costs, bills, and debts your family might struggle with while in mourning. The last thing your family should worry about is their finances while they take the time to heal from your loss.
Discuss Trust
As your family changes and grows, their needs and expenditures will also change. We never know exactly what life will throw at us, which is why saving and preparing is of the utmost importance. Savings accounts, bonds, and other investments are all highly recommended while you plan your financial future. However, the best future financial tool may be your life insurance policy. Investments may fail, or markets may crash. Still, if you were no longer present to contribute your income and support, your life insurance policy is an ironclad guarantee your family will be financially secure.
When discussing your life insurance policy, kindly make your family aware that your policy’s payout is not tied to your finances or income. Therefore, if financial hardship should strike, your life insurance amount will not be affected. Your life insurance benefit will remain the same amount no matter what business investment falls through or whether you get fired or laid off. As long as you continue to make your affordable monthly payments towards your policy, that protection is a guarantee regardless of the economic climate. Trust among your immediate family members about your financial future is a building block for success and goal achievement.
Discuss Quality of Life and Financial Security
There is a common misconception that in order to have a substantial payout life insurance policy, your monthly premium must come with a high price tag. Your family may be less than excited to talk about life insurance if they believe your family will be taking on an additional, expensive monthly bill. They may question whether another monthly expense is worth it for a policy you may or may not need anytime soon. However, these misunderstandings could not be further from the truth.
Life insurance policies are for everyone, and their affordability reflects that fact. The average life insurance policy in Canada costs between $15-$100 per month, ensuring the majority of people can afford some level of coverage. The policies on the higher end of the price point are for those with an abundance of additional coverages or for individuals who suffer from pre-existing health conditions but still want their family to be protected by their life insurance. Thus, your family can feel the security of financial protection at an affordable monthly cost.
When discussing life insurance with your family members, remember your peace of mind concerning their financial futures needs to be a priority. In addition, let your family know your life insurance policy is a representation of your love, dedication, and support.
Final Thoughts
Life insurance policies are a necessary purchase today that can significantly protect and benefit your family tomorrow. Whether it is helping to save for your child’s education, paying off debts, or providing for day-to-day life, your life insurance payout can go a long way in financially securing your family’s future. Therefore, purchasing a policy that fits your life and budget has never been more critical. The experienced insurance professionals at Hometown Life Insurance prioritize their client’s needs and use their vast market knowledge to craft your ideal policy. Serving countless Canadian families, the licensed Hometown Life Insurance agents work closely with their clients to help financially protect what they hold most dear. And with such a wide range of life insurance policies, there is one to fit every type of budget.
If you would like to know more about the benefits of life insurance policies, contact the licensed brokers at Hometown Life Insurance at 289-606-0103. Our experienced team will be happy to answer any questions you may have.
