If you have people that rely on your income then life insurance HAS to be part of your financial plan.
I ran into a couple who had four children. Their insurance agent had talked to them about getting a life insurance policy, but they had declined because the husband had $150,000 policy through his employer which was about one year of his salary.
About a year later he was diagnosed with stage four cancer and, as a result of the treatments, ended up not being able to continue in his job.
Now they have a situation where he is not able to work and if he does not recover his spouse will be left with four children and no insurance payout since the policy they did have was contingent on him keeping his job.
Even though the man is still alive, this is a heartbreaking story because his family is on the verge of financial ruin if he does not win this fight.
What we can all learn from it is that if people are depending on your income you need a life insurance policy [Tweet This] that is not connected to your employment with a company that has a good reputation.
The question I tend to get next is, “How do I know which company is the best one?” My answer is always the same. The best life insurance company is the one that insures you for the coverage amount you need, at the best premium, and will pay out if something were to happen to you.
Life Insurance Companies That Pay Out
While it is natural to be cautious with picking a company that holds your families financial health in its hand,
The truth is, that insurance companies RARELY fail. It would be difficult to document even a single example of a company that failed to pay a death benefit.