Life Insurance Alhambra California CA
Reader’s Question:
I purchased a whole life insurance policy 10 years ago. I think it has performed well and has been a solid investment for our family. With prices where they are, I am a little worried that I may need more life insurance. Is there a formula with reagrds to life insurance in Alhambra CA?
Ed
Alhambra, CA
A good question Ed,
But a hard one to answer! Every owner’s goals tend to vary. Life insurance serves different purposes to different owners. Accordingly, there is no set or standard formula. A measure or good place to start might be to take the family’s gross income and multiply that figure by 5. Look at that potential life insurance death benefit and discuss it with your beneficiary. Will it provide funds to retire all obligations in Alhambra, California? Will it provide for lost income? Those are usually goals of life insurance policy holders.
We use that figure as a starting point. Of course, there are budgets to be considered. Your existing whole life insurance policy has been solid for ten years. It has accumulated a fair amount of cash value and it probably is paying sound dividends that help to offset the life insurance premiums. These are good things to know in the context of life insurance. Now, let’s long and hard at the face value. Undoubtedly, your income has increased in the past 10 years. Perhaps your obligations have also?
Take your financial balance sheet to your life insurance agent in Alhambra, CA and let’s see if we need to revise our benefit. Frankly, we suggest that life insurance policy holders review their plan every year. It is an easy process and provides a lot of peace of mind, which you deserve, Ed.
Tags: life insurance, life insurance policy
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