How to really buy life insurance

When faced with the prospect of figuring out how much insurance to buy, most people pluck a figure out of the air - something that just seems adequate. Or another common practice is to rely on insurance agents to decide a policy and sum assured. This is obviously not the way to make this important decision. The only reasonable way of deciding what and how much insurance you need is to unemotionally create a financial plan that your family should follow if you die suddenly. Families also have to consider the impact of both parents passing away in an accident. The impact of such a tragedy could be greater than just the sum of two deaths occurring separately. Here are five things to consider. Time left to retirement: Before buying any term insurance plan, an individual must assess the time left to retire and what 'sum assured' will be sufficient. Time remaining to retire here does not necessarily mean retirement from your job, but rather the time till your family members will depend on you for their financial needs. Once you know the number of years fo

This article was originally published on January 06, 2022.