life insurance

How Do I Decide Which Family Members Need Life Insurance?

Posted on by AgentInsure

Discussing which family member should have life insurance can be a sensitive topic, but it’s crucial due to the potential adverse effects on the family should a loss occur. The conversation should focus on the financial impact of each family member’s loss rather than emotional aspects. If you are considering acquiring life insurance and live in or near Rochester, MN, talk with our Safechoice Insurance Agency team member.

Which Family Members Need Insurance?

Generally, some family members do not need life insurance, and the amount required for those insured differs based on their family role. The need for life insurance typically revolves around each person’s financial contribution to the family budget or the financial resources needed to replace the role of those who do not work outside the home.

You can use the following questions about family roles to help determine your family’s life insurance needs.

  • Breadwinners: Can the family handle the financial impact of losing someone who brings income into the household?
  • Caretaker: Does a family member care for children, aging adults, or others without pay? What would it cost to pay others for similar care?
  • Heredity: Does your family have hereditary health issues that could affect a child’s ability to qualify for life insurance in adulthood?
  • Final Expenses: Can you comfortably afford to pay the final expenses for a family member?
  • Family Business/Debt: Do family members jointly own a business? Is the business succession plan fully funded? Do family members have mortgages or owe money to others or one another?

Working with Safechoice Insurance Agency

The Safechoice Insurance Agency team, serving Rochester, MN, area residents, can help establish your family’s life insurance plan. Call us today at (507) 280-9282 to schedule an appointment.

Life Insurance Coverages Available in MN

Posted on by AgentInsure
When it comes to life insurance, there are two main types: whole life and term life. Each of these two policies is unique and has its pros and cons. Depending on your specific needs, and which season of life you’re in, you may find that one is a better choice for you than the other.

Whole life insurance is usually valid for the rest of your life, as long as you continue to pay your premiums. The cost may go up as you age, but generally you can keep this policy for as long as you’d like. Some policies build up a ‘cash value’ which is the money you can borrow from at any time, or take out should you ever decide to cancel the policy. Upon passing away, any money that was taken from the cash value must be repaid.
Term life insurance is only good for the length of the term that you choose when you purchase it, which may be as few as 10 years or as many as 30. Once the policy expires, you no longer have coverage. If you want to buy a new policy you may but it will cost more since you’re now several years older than you were when you first purchased it. Term life policies are less expensive than whole life, and they don’t build up a cash value.

To learn more about the types of life insurance coverage in Minnesota, contact our team today. Our friendly agents are experienced and are passionate about helping you understand your insurance options so that you can choose a policy that meets your needs. We’ll talk with you to find out about your family and life, and guide you in choosing the policy that’s most appropriate for you.