Although every agent will tell you that you absolutely need a life insurance policy, the fact of the matter is that it’s not ideal for everyone. Life insurance is a type of insurance that’s supposed to cover a risk. The ‘risk’ being your family or loved ones: will they suffer financially in the event of your death? If the answer is yes, your family will suffer financial losses if you pass unexpectedly, then it might be right for you. However, if your family won’t struggle to pay the bills after your passing, or no one is financially dependent on you, then you probably are safe without it. Unfortunately, far too many are pressured into purchasing life insurance policies that they don’t need simply because their insurance agent was persistent enough to push it upon them.
The Push for Life Insurance
Now, not all life insurance policies are derived from greedy agents who are trying to make some quick cash. In fact, certain policies can prove to be very valuable to families who need them the most. When needed and used correctly, a life insurance policy can be a significantly helpful source of finance; however, if used incorrectly–when it’s not needed–it can wind up being a huge waste of money.
Another reason many people are signing up for life insurance policies (even if they don’t need it) is due to the idea that it’s an important investment. Time after time, selfish agents will tell their potential customers about all the benefits of a life insurance policy, including its value as an investment. Let’s be clear, a policy like this should never be considered a ‘good investment opportunity’. Why is that? Well, simply due to the fact that you would have to die for your family to ever see that money. Unfortunately, you will never be able to reap the benefits of it, only your beneficiary will. And it will be a morbid benefit at best. There are many other investment opportunities that actually allow you to see your ROI, and this is certainly not one of them.
For those who are unsure of whether or not they should be investing in this kind of policy, remember this important rule of thumb: life insurance can be an important way to provide financial stability to those who are financially dependent on you. If no one is financially dependent on you, then you do not need this kind of plan. Don’t let your pushy agents tell you otherwise.
Life Settlements Prove To Be A Viable Alternative
For those that already have this type of policy and wish to get out of it, a life settlement is absolutely the best solution. At Life Settlements Inc, you can sell your life insurance policy for cash. Contact us today for more information on life settlements.