Whole Life Insurance
People buy life insurance for a whole bunch of different reasons. Whole life insurance offers the guarantee that your beneficiary will receive the death benefit.
That death benefit can be used to cover any bills left behind, but is often used as a way to pass on a legacy to family and loved ones after you’re gone. We’ve worked with people who’ve bought whole life policies to leave to their children, grandchildren, church or even a favorite charity. The decision is entirely up to you.
One strategy that people don’t often think about is buying whole life insurance for their children shortly after they are born. The premium for a newborn’s $100,000 whole life insurance policy could be as low as $10 a month. Many parents will pay that until their child is old enough to appreciate the policy and take over the payments herself. Then when that child is 70 years old and still paying $10 for a $100,000 benefit, she’ll be awfully appreciative of her parents who had the wisdom and foresight to buy it when they did.
These are just some of the basic ways you can use whole life insurance.