Nowadays there are insurances for anything you can bring your mind to think of, out the whole lot of them I think life insurance is the most important of them all, here are some sensible reasons to buy life insurance.
• The primary reason people buy life insurance is to protect their family and dependents from financial worries in the event of unexpected death. Depending on the extent of coverage on your life insurance you can be of finance for your dependents even in absence.
• A good life insurance policy is most times considered as a sound financial asset, it could increase your credit rating and this can come in handy if you have plans of getting a home loan or a start up loan for business.
• Depending on the type insurance policy you buy, there’s an option of getting your money returned if you choose to at some stage, and some types of life insurance can have a saving or pensions component that provides income for you during retirement.
• Even if you don’t have dependents or even if you know your family and dependants are in no financial worry situation if anything unexpected happens to you, you might still take out a life insurance policy to serve as a lasting gift to a noble cause or charity or some kind of trust fund, in this way you could ensure a final donation much larger than you might afford out of your pocket.
• You could buy life insurance for your child as a beginning of a lifetime financial plan. Quickly paid up whole life insurance plans with growing cash values are very cheap when children are young and can become valuable asset when paid up.
