Why you should choose life insurance from UIG
- It’s a cost effective solution for your life insurance needs
- It helps protect your family’s standard of living
- Provides your family a way to help pay off debt, fund your child’s education, or make up for lost income
Why do you need life insurance?
- Keep paying the mortgage
- Maintain current standard of living
- Pay off debts
- Create a fund for college education
- Protection for the uncertain future
How much life insurance do you need?
When you’re buying a life insurance policy, it’s important to choose the right amount of coverage. You don’t want to have too much and pay for protection you don’t need. Neither do you want to have too little and leave your loved ones under protected.
Determining your life insurance needs
There are two commonly accepted methods for calculating the amount of life insurance coverage you need
The first method is the called the lump sum need methods. It calculates the amount you need by using these categories:
- Outstanding debts
- Funeral expenses
- Household expenses
- Emergency needs
- Educational costs
The second method is called the income replacement method which calculates the amount needed to replace a percentage of your income for a specific number of years, usually until your youngest child is out of college or until your mortgage is paid off.
In addition to these two methods, you may also want to consider other needs. For example, would you want to provide the financial means so your spouse wouldn’t have to work for the first year after your death? Or if you would want to provide the financial means for your children to attend college?