Who relies on you, and for how long?
Look at household income, unpaid care, debts, and future expenses. A list of responsibilities can be more useful than a fixed income multiplier. Include existing savings and insurance in the discussion.
What commitments come with the policy?
Term insurance covers a specified period. Permanent policies are intended for longer-term coverage and may include cash value. Compare the actual premium requirements, guarantees, and limitations. Ask what changes on renewal and whether conversion is available.
Bring these questions to an agent
- Who would need financial support if I died?
- How many years do those responsibilities last?
- What premium can I sustain over time?
- What happens to coverage through work if I leave?
- Who should be the primary and backup beneficiaries?
Read the application and beneficiary choices
Review every answer before signing. Ask how beneficiaries will receive the benefit, especially if a child is involved. Request an explanation of anything illustrated but not guaranteed, and confirm the effective date with the insurer.
Keep learning
Consumer resources used to check this guide:
General education only. This guide does not determine coverage or eligibility. Review the actual policy or plan and discuss your circumstances with a licensed professional.
