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How much life insurance do you need? | CoverLink insurance

Even if you already have life insurance through your employer, you may be underinsured. If you want the security of knowing that you have enough life insurance coverage in place, we can work with you to ensure that there are no gaps in your current coverage.

To find the right coverage, it is important to weigh your relatives' current lifestyle and spending needs against their future sources of income and assets. Based on basic financial information
such as your current annual gross salary, the number of years you have until retirement and your short-term and long-term expenses, we can help you calculate how much your family will need to compensate for this lost income if anything. happen to you.

Protection and Peace of Mind

If others depend on you for financial support, part of your financial plan should include how to support them in the event of your death. . Buying a life insurance policy is a safety net that
ensures that your loved ones' future financial obligations are met and covers property costs, outstanding debt, property taxes and everyday expenses. There are two basic types of life insurance
: life insurance and permanent life insurance. Which type of life insurance suits you best depends on your unique needs. To help you decide, we have covered the basics.

Option 1
: Term Life Insurance

Just as the name suggests, the term life insurance covers you for a certain period of time you choose. Because it offers a death benefit but no cash value, life insurance is a cheap way to protect your beneficiaries for a certain period of time.

This type of insurance is ideal for those who have a temporary need for life insurance coverage, for those who need a large amount of insurance coverage but have limited cash and for those with specific business needs, such as extra coverage for a key employee.

Renewal period life insurance can be renewed at the end of the semester, at the policyholder's possibility and without proof of insurability for a limited number of consecutive terms. It can also be converted or exchanged for a permanent insurance without proof of insurability on the road.

With the term life insurance, when the term expires, your coverage ceases and the insurance has no additional value. It is important to note that prices generally increase along with the age of the insured.

Option 2: Permanent life insurance

Permanent life insurance is some form of life insurance other than term. These insurances combine lifelong insurance with a long-term, tax-protected savings plan.

Whole life is the most basic type of permanent life insurance. It provides coverage that lasts a lifetime and also builds up a cash value that you can borrow against, take out or use to pay future premiums.

A life insurance with a cash value is ideal for those who have a lifetime need for insurance protection, prefer stable premiums over the length of the insurance period, want an insurance that allows them to build tax deferred values ​​and value the high coverage provided by the insurance.

While interest rates for an entire life insurance are stable during the life of the insurance, premiums are initially more expensive than for forward insurance.

Whether you choose a term or permanent life insurance, both can give you the protection and security of knowing you have coverage when you need it most. Call us today to learn more.

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