Life Insurance in Manchester
When many people get married and start families, they tend to think about their own mortality. To ensure the financial protection of their spouse and children, they may consider life insurance.
Life insurance is a contract between you and an insurance company. In exchange for regular premium payments, the insurer provides a lump-sum payment, known as a death benefit, to your beneficiaries when you pass away. This benefit can pay for funeral costs, bills, and other final expenses you may have that your family may struggle to cover on their own.
While any time is a good time to start considering life insurance, most people start thinking about purchasing life insurance when a significant event happens. This may include marriage, having a baby, or buying a home.
If you are considering life insurance, see how Hartman Insurance Agency can help. We have helped many Manchester families find the life insurance protection that fits their needs.
Life Insurance FAQs
Q: How does life insurance work?
A: You pay premiums, either monthly or annually, to keep your policy active. If you die while the policy is active, the insurer pays the agreed-upon death benefit to your beneficiaries.
Q: What are the different types of life insurance?
A: There are four main types of life insurance:
- Term life insurance. This type provides coverage for a specified period (10, 20, or 30 years). It is usually more affordable but doesn’t build cash value.
- Whole life insurance. This type offers lifelong coverage and builds cash value over time, which can be borrowed against or withdrawn.
- Universal life insurance. This insurance provides flexibility in premiums and death benefits, along with cash value accumulation.
- Variable life insurance. Similar to universal life, this insurance allows for investing the cash value in different accounts.
Q: How much life insurance do I need?
A: The amount of life insurance needed depends on your financial obligations, such as:
- Paying off debts like mortgages, car loans, and credit cards
- Income replacement for your dependents
- Future expenses (children’s education, retirement)
A common recommendation is to have coverage equal to 5 to 10 times your annual income.
Q: Can I cash out a life insurance policy?
A: If you have a permanent life insurance policy (such as whole or universal life), you may be able to access the cash value. You can withdraw it, take a loan against it, or surrender the policy for the cash surrender value.
Contact Our Michigan Life Insurance Agency Today
You need to prepare for the future. We will all die at some point, and having life insurance to cover your final expenses is the best way to help your loved ones.
Life insurance can benefit you and your family. The Manchester agents at Hartman Insurance Agency are well-versed in life insurance policies and will take the time to make sure you choose the right one to benefit your loved ones. To schedule a consultation, fill out the online form or call (734) 425-6023.