Life insurance is never going to be anyone’s dream topic of choice at the dinner table, but the old rule of insurance applies here as with anywhere else: at the point you need it, insurance will be the best purchase you ever made.
The difference with life insurance is that it won’t be you who sees the benefit from your purchase. Sadly, if your life insurance policy is claimed upon, it clearly won’t be you doing the claiming, but the adage, somewhat altered, still applies: at the point they need it, life insurance will be the best purchase you ever made for your family.
It’s strangely helpful sometimes with life insurance to take the concept of death out of the equation and think practically about life in different scenarios.
- What would your family do for income if you lost your employment, with no chance of finding reemployment?
- In the same scenario, how would you cover regular and substantial bills, such as your mortgage or car payments?
- And in the midst of that, what if you had to move home and change other family working and living arrangements, such as childcare?
- It may also be likely that holidays had to be cancelled or not booked in the first place and other ‘unnecessary’ expenses were stopped. How would your children and/or your partner begin to feel about your existence?
The scenarios painted above would be difficult enough. Of course, the real scenario we are talking about would also mean that you were permanently absent from your family during these events. How would they cope? What would they do for income and how would they handle ongoing expenses?
The reality is that there is no insurance available that would help your family through the emotions of dealing with your death. What there is insurance available for is ensuring that financial uncertainty, even financial hardship, is not something that is added to bereavement for your family to copy with.
At a difficult time, life insurance helps to handle the financial aspect of the worry, upheaval and shock your family will be experiencing. And, in a nutshell, without taking up more time discussing insurance and mortality: that’s precisely why everyone should consider taking out life insurance.