When you think of life insurance, you’re probably imagining term life insurance with a simple death benefit. Term life insurance is the most basic solution, often available through your employer, and serves an essential function – paying a lump sum to your beneficiaries in the event of your death. Term life is the most affordable product, paying out only in the event of your death and coming with an expiration date.
Sometimes simple is exactly what you need, offering peace of mind that your family will be able to handle essential expenses after you’re gone. There are significant advantages to life insurance of any kind:
• With a clear beneficiary, funds go directly to the recipient.
• Money doesn’t sit in probate.
• Benefit isn’t subject to estate tax.
Life insurance has come a long way from simple term products. More sophisticated solutions are now available that you can leverage throughout your life, while still keeping the protection of a death benefit.