Salt Lake City, UT (PRWEB) December 04, 2012
Term.org’s Life insurance site http://www.life-insurance.term.org knows that buying someone life insurance for Christmas is a bit unusual. Still, it can make a big difference to loved ones. Term.org’s founder shares a true Christmas story about such a gift and reminds people that life insurance can make a thoughtful Christmas present for loved ones.
The man in this story didn’t have a lot of money. He was a construction worker. It was not only hard to save extra, it was tough to think ahead and invest or even buy life insurance. Ironically the year this took place, was near Christmas time and he was working on a bank. He never quite found the cash to buy himself life insurance. But someone else stepped in to be sure he was covered.
His father-in-law announced to the family that this year’s Christmas present to all of his sons was to buy them term life insurance. While the gift was not glamorous, it was important. Unfortunately, that year the worker was killed. He left behind a wife and young children. Because of this gift, in their mourning, his family didn’t have to worry about how to pay for the funeral or what they would live on without his income. They had enough to live on for a long time.
"Life insurance can scare people, because it can be complicated and people rarely like to think about what will happen after they die," says the site's founder. But as the story illustrates, life insurance can really pay off and help loved ones should it happen unexpectedly. It can save them from a huge financial burden.
When someone passed away, an insurance company will pay a benefit to a pre-selected beneficiary with a pre-selected amount. Other than that life insurance policies vary in length (called the term), payout (how much is given upon death) and premium (the monthly fee to keep the insurance). In general, the older or worse heath a person is in, the higher the premium. That’s why it’s good to get approved and have a plan BEFORE it’s needed. It’s hard to qualify or even if qualifying, the risk factors equal a higher monthly premium.
There are two common types of life insurance, permanent and level term. Life-Insurance.term.org recommends getting quotes for various life insurance products to get the best product for your situation. And always remember that insurance may not be convenient but it’s important -- important enough to give to the people you love most.