Take time this month to examine life insurance needs

Stuart Heflin

Published Sunday, September 20, 2009

If you were no longer there to provide for your family, would they be able to keep their home? Could your children attend college?

If you answered no to either of these questions, it may be time to look at your life insurance coverage.

September has been designated Life Insurance Awareness Month by the Life and Health Insurance Foundation for Education. The foundation is encouraging people to examine their life insurance policies to determine if they are adequately protected.

While your needs may vary, the 2004 Human Life Value study conducted by LIFE found that the average life value among U.S. citizens was $803,788. A male’s value, meaning the economic value to others was nearly $1 million, while a female’s value was over $660,000.

While the life insurance need it not as high as those values, the average life insurance policy for males in the study was closer to $300,000 while women had $165,245.

Life insurance can be the foundation of a sound financial plan, especially given the continuing need after the death of a breadwinner.

Think of it as a safety net should a wage earner die unexpectantly.

In addition to that, permanent life insurance may accumulate a cash value that can be accessed while you are still living.

While any loans from a policy will accrue interest and diminish the cash value and any subsequent death benefit, the proceeds could be used for any number of reasons.

Life insurance can be one of the most important purchase you make.

Take some time during Life Insurance Awareness Month to examine your life insurance needs.

Stuart Heflin is a Natchez-based insurance agent with State Farm Insurance. He can be reached by calling 601-442-9138.