Life Insurance Myths That Could Hurt Young Families
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Myths About Life Insurance for Young Families

  • July 12, 2018

Common Life Insurance Misconceptions 

Young families have a lot to juggle. From new commitments, such as buying your first home or having children, to making sure you are financially stable, there is a lot of new responsibility. What young families often forget is to secure reliable life insurance in Thousand Oaks, CA is so important for young families. If you were to die unexpectedly, how would your family manage? Life insurance is there to make sure your loved ones maintain their standard of living and keep their plans for the future on track. Don’t let these life insurance misconceptions stop your family from getting the coverage you need.

Myth #1: Only the breadwinners need life insurance cover.

Whether you or your partner bring in the largest income, your family relies on you to maintain its quality of life. Even if you don’t work outside of the home, having life insurance is a smart choice. Stay-at-home parents perform valuable services such as childcare, cooking, housecleaning, and household arrangement, which can be costly to replace for a surviving spouse or partner.

Myth #2: I only need term insurance.

Term insurance is great for many young families; they need coverage and they have limited budgets. However, that doesn’t mean it’s the only type of insurance you should consider. Permanent insurance provides a death benefit as well as other unique features such as lifelong protection and the ability to accumulate cash values on a tax-deferred basis, similar to assets in most retirement savings plans.

Myth #3: I can get a better rate of return if I invest my money elsewhere.

The most important reason for any life insurance purchase is to provide for your family. Permanent insurance policies provide you with the ability to accumulate cash values that grow over time and can be borrowed against or withdrawn. Contrary to what many people think, long-term rates of return on cash values are generally comparable to relatively low-risk investment products.

Get set up with the right life insurance coverage for your needs by contacting the industry experts at Falsken & Associates Insurance Agency, serving Thousand Oaks, Westlake Village, and neighboring communities.