It turns out I don’t know as much about life insurance as I once thought. I purchased a 20 year term policy about 17 years ago, after becoming a single parent. I wanted to be sure that my son was taken care of, should something happen to me. I realize I should have had a policy while still married, but this was a step in the right direction for me. I remember when I made the decision to purchase life insurance, and quite honestly did not give much thought to my life insurance needs – instead focused on a monthly premium I could comfortably afford.
Fast forward 17 years later and my term policy is about to run out. I haven’t given it much thought the last 17 years. Did I have enough coverage to begin with? Will I need more or less? Should I switch from a term policy to a life policy? My now 26 year old son doesn’t have the same needs that he once did, but I want to also be sure that my mother is taken care of. How much coverage do I need?
I had so many questions about my life insurance needs, then I used the Genworth Financial Life Insurance Calculator. Not only did the online tool help me figure out how much life insurance I need, but it showed how much I should expect to pay as a monthly premium. It turns out that I have been very underinsured all of these years. If something were to happen to me, the people I care most about would have difficulty staying afloat.
It seems I am not alone in this deficiency. Statistics show that 42% American households with an income between $50k – $250k don’t even have a life insurance policy. Is your family’s financial future secure?