Finding the Best Term Life Insurance For You and Your Family
The best term life insurance in America just might be any term life insurance. According to Marketing Director Jon Pinney of Wholesale Insurance, studies by the insurance research and assessment firm LIMRA International show that between 15% and 30% of the men and women at the head of American households carry no life insurance at all, while J.D. Powers and Associates claims that the uninsured rates among women in the United States may be as high as 64%. Add to that the fact that over 50% of Americans feel that the term life insurance they do carry is not going to be adequate if the worst should happen, and it becomes painfully clear that finding the best term life insurance on the market needs to be high on the priority list for most American families.
The Best Term Life Insurance Doesn't Have to be Expensive Term Life Insurance
What is even more shocking, according to Jon Pinney, is the fact that term life insurance premiums today are 75% cheaper than they were 25 years ago. In other words, it's not economics that are preventing the average American household from adequately insuring themselves against the unthinkable, but rather a lack of knowledge about how to calculate their real insurance needs coupled with a lack of awareness regarding how affordable adequate term life insurance can be. The truth of the matter is that by performing a few simple calculations to determine your life insurance needs, and by following a few proven strategies when it comes to shopping around, the best term life insurance in the business is easily attainable for just about anybody.
The Best Term Life Insurance = Enough Term Life Insurance
What do you need to do in order to get the best term life insurance possible? Simply put: make sure that you have enough life insurance to do the job. Those $50,000 complimentary policies you get for opening a checking account at the local credit union are better than nothing, but they're not going to provide much of a safety net if you or your spouse are no longer around to provide for the family. The good news is that arriving at a more realistic accounting of how much term life insurance you're going to need doesn't require more than an honest accounting of your insurance needs, and a basic understanding of simple arithmetic.
- Calculating Your Term Life Insurance Needs: Where your insurance needs are concerned, the primary question to ask is who relies on your income, and how long will you need to supplement the loss of that income for them to maintain their quality of life and get back on their feet in your absence? Once you figure out the answers to those questions, all that's left to do are a few simple math equations.
- Calculating Your Term Life Insurance Amounts: How simple? Start with your annual salary, multiply it by the number of years deemed necessary, and you have your number. If you have young children, for example, 17 years worth of coverage should ensure that your kids are adequately provided for through adulthood. If you make $50,000 per year, you will need an $850,000 policy ($50,000 x 17 years). If you want to shave a few years off that total, or if you don't feel that your full annual salary is necessary for your loved ones to maintain their current quality of life, then you can reduce your premiums by making those adjustments accordingly. Remember, however, that bargain hunting is not the name of the game. While it doesn't make sense to overpay and acquire more insurance than you need, the most important consideration is to be sure your loved ones will be taken care if you're no long around.