Is Getting Life Insurance a Good Investment?

​Life insurance is an instrument that pays out beneficiaries a designated amount of money upon the death of the insured person. Since getting an insurance policy involves allocating regular premiums either monthly, quarterly, or annually, some people consider it a good investment. Others say that life insurance is not an investment, while a majority of most people are still skeptical about getting any insurance at all.  This article will clear out some of your qualms regarding such apprehensions.

Kinds of Life Insurances

• Term Insurance
  This insurance provides life insurance coverage for a certain term. The policy itself does not earn any cash value. Its premiums are significantly less expensive in the first year but increase through the years.
• Whole Life Insurance
  This insurance provides lifetime coverage for a fixed premium value. It can provide dividends during retirement and cash benefits.
• Variable Life Insurance
  Also known as Permanent Life Insurance, it accumulates a cash value up to its date of maturation. This type of insurance allows policyholders to have access to their money on its designated fund value.
• Universal Life Insurance
  It is similar to Whole Life Insurance, but it offers more flexibility on adjusting premiums or the face amount of the insurance.

Is it a good investment?
There are many considerations to make when getting life insurance. Remember that some insurances require you to pay premiums for a lifetime, but the cost of each isn’t that much. Some insurances require five to ten years to settle, but the premiums are enormous! 

Given these considerations, here are some of the key benefits of life insurance:

• You can borrow against the cash value of your policy if you want to buy a house or send your children to college.
• Some insurance policies get cashed out when it gets matured, or when you outlived your expected insured age. Other policies allow you to keep it as long as you pay the premiums.
• You can get critical illness benefits.
• When you get Variable Life Insurance, it provides you some tax advantages and gets tax-deferred growth!

The key to making it work properly is always to monitor your premium payments. This way, it somehow becomes your savings and investments, so you need not worry too much about your future. Life insurance works for everybody. Choose the life insurance that best fits your lifestyle!

At Berlin & Denys Insurance, we aim to provide comprehensive insurance policies that make your life easier. We want to help you get the insurance that fits your needs. You can get more information about our products and services by calling our agency at (800) 946-3303. Get your free quote today by CLICKING HERE.