Term life
insurance is a great way to address the needs
commonly know as "final expenses". This is
inherently different from commonly thought-of
uses for life insurance such as income
replacement or larger debt payment (such as
mortgages). Final Expenses are those
associated more or less directly with a person's
death. Term life, in addition to
addressing other life insurance needs, is an
inexpensive way to deal issues that most people
aren't even aware of. Let's look a
little closer at final expenses and their final
solution...term life insurance.
Unless you
have been intimately involved in the funeral or
passing of a loved one, you may not even know
what the term final expenses means. There
are many expenses that arise from a person
passing away. Some are obvious while
others are not. First, let's at the
fact that the last thing you want to deal with
during such a tumultuous period are financial
issues that arrive. It's hard enough to
just handle the loss without the day to day
paying of things. As a benefit for
your loved ones, final expense insures that the
stress of addressing these financial matters do
not overly burden them down.
The obvious
and sometimes most expensive final expense is
that of the funeral. Regardless of whether
it's a burial, cremation ,or some other service,
the cost these days can quickly run 10's of
thousands of dollars. You may have
specific requirements (ashes over Golden Gate
Bridge). A great way to insure your wishes are
respected without putting hardship on your loved
ones is to provide for the payment of these
expenses with term life insurance. Term
life insurance allows them to pay for these
expenses without the
taxation or risk or
creditors that money might attract when it's not
a life insurance benefit.
There can be
other bills that are outstanding or small
personal debts which term life insurance can pay
for in an in-expensive manner. This can be
the people that keep your house, yard up to
gifts for caregivers that provided care to you.
It is often
very expensive for family members and friends to
fly or travel last minute to a funeral.
How nice would it be to leave an amount through
a term life benefit to pay for the travel
arrangements of those close to you. Some
loved ones may need to take time off from work
to help organize and arrange the funeral and all
that follows. Part of the term life
benefit could be used in this way as well.
Final
expenses are unique to each person as they are
based on what's important to you but is
important to consider these expenses as a part
of your total term life insurance strategy.
It's same to assume $20-50K of coverage just for
these expenses. Luckily,
term life
insurance rates are very inexpensive on the
market so the cost of final expenses as part of
the total mix of life insurance protection can
be dollars per month.
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