Wheeling , IL (PressExposure) June 22, 2010 -- Life insurance serves more purposes than just replacing a breadwinner's income. AccuQuote, a leader in providing term life insurance quotes to people across the United States, explains the benefits of life insurance coverage for the entire family and the meaning of a "family pack."
"Losing a loved one is never easy. What makes it worse is compounding grief with financial stress," says Byron Udell, founder and CEO of AccuQuote. "No one likes to think about it, but the truth it can happen to you or anyone you love. And unfortunately, loss costs time and money, whether it's taking time off work to grieve or paying for funeral expenses. But that's just one reason to buy a life insurance policy for each family member - there's much more to consider."
What is a family pack?
A family pack is simply a term used to describe how many life insurance policies are being purchased and for what purpose. Before purchasing a family pack, it's important to understand the reasons why all family members should have some type of life insurance coverage.
Reasons why all family members should have life insurance
- Breadwinner - The breadwinner earns the majority of a family's overall income. "If you're the breadwinner, you need enough life insurance to make sure your family is taken care of financially when you die," says Udell. The loss of a breadwinner's salary could be devastating for a family's overall financial future. Experts recommend having 10 to 15 times a person's annual salary in life insurance coverage.
- Working spouse - Married couples share financial obligations, so it makes sense that both working spouses should have their own life insurance policy. "Even if you don't make as much money as your spouse, your financial contributions make a difference," says Udell. "Ask yourself this question: Would your spouse be able to pay all of the bills on just one salary?" An adequate life insurance policy can help fund some of those extra expenses.
- Nonworking spouse - Even stay at home parents need life insurance. They are responsible for various household chores that would otherwise cost thousands of dollars a month if paid to a professional. "If you died prematurely, your spouse would have to pay someone to take care of the things you did at home," says Udell. "A life insurance policy can offset the additional cost of things such as childcare, transportation and cooking."
- Child - "Some people think that owning a life insurance policy on a child is unnecessary, even morbid," says Udell. "But the fact is, if you lose a child as a result of an accident or illness, final expenses can just compound your grief." Child policies provide coverage for life, even if their health changes and they become otherwise uninsurable, or too risky to insure by industry standards. These policies are very inexpensive and no medical exam is necessary.
It's easy to get your entire family covered with life insurance in just one phone call. Contact an experienced life insurance agent at AccuQuote for professional, unbiased advice. The process is quick, easy and free.