Suze Orman TwitterSuze Orman FacebookSuze Orman YouTubeSuze Orman LinkedIn
View Blog & News List

Life Insurance Made Easy. Really!

May 28, 2015 at 12:00 PM

Life Insurance Made Easy. Really!

Life insurance is such a difficult financial hurdle for so many of you. You’re either queasy about pondering the need for it in the first place, or you are rightfully queasy about getting taken by an agent selling you a way-too-expensive policy.

Okay, I am going to make this super clear and easy: Answer these five questions and you will know exactly what to do.:

  1. Is anyone dependent on your income? Such as a spouse, partner, child, parent, or sibling?

    No: You don’t need life insurance.
    Yes: Keep Reading

  2. Do you expect that you will need to provide that financial support forever-say for someone with special needs?

    Yes: I recommend you speak with a trusted insurance agent-ask friends and family for recommendations--about the need for a Permanent life insurance policy.

    No: Keep Reading.

  3. Do you want to protect a dependent for a set period of years: say until a young child is an independent adult, or until your mortgage is paid off, so a spouse or partner would be protected? Or to cover a one-time expense such as college costs or funeral expenses?

    Yes: All you need is Term Life Insurance. Term insurance is very inexpensive, because it will be in place for just a set term-such as 10 or 20 years-not forever. Keep Reading. 

3. Do you want to protect a dependent for a set period of years: say until a young child is an independent adult, or until your mortgage is paid off, so a spouse or partner would be protected? Or to cover a one-time expense such as college costs or funeral expenses?

Yes: All you need is Term Life Insurance. Term insurance is very inexpensive, because it will be in place for just a set term-such as 10 or 20 years-not forever. Keep Reading. 

4. Do you want to make sure that in the event that you were to die prematurely your dependents would not have any financial worries?

Yes: Buy a term life insurance policy with a death benefit that is equal to at least 20 times your dependents annual income needs.

With such a large death benefit, your dependents will be able to invest the money very conservatively-say in high quality municipal bonds-and live off the income.

5. Are you okay with your annual insurance premium changing (becoming more expensive) every few years?

No: Of course you’re not!. Shop for a level premium term life insurance policy. And make sure it is guaranteed renewable as well. A guaranteed level term policy means that your annual premiums will never change, and that as long as you keep up the payments the policy will remain exactly as it was on the day you purchased it. You can shop online for term life insurance; is a company I think highly of.

Tag Cloud

dental savings planSuze approvedhome buying seasonretirment savingseliminate credit card debtfour steps to retirement savings Federal PLUS loanFRAsocial security not going brokeclosing costs 2% of loanSuze Ormanhigh deductible health care planGoodbyebetter loan dealsno private loansnew cartax ID theftswitch to spouse coveragehighest possible benefitface your financial fearidentity fraudincrease retirement savingsARMprotect loved ones responsible with moneyopen enrollment review reduce monthly paymentAARPdepreciating asset Financial Gift Clifflife insurance name trust as beneficiaryemployer offered life insurancepoint cost offset by savingsbuying a carmake saving a pleasuregrandchild summer job IRA contributionfraudulent returndon't cover cosmetic dentistryRetirement Savingsstaycationdon't blow tax refundchildren's bookresponsiblelow down paymentHoliday Shoppingenjoy saving add teennot gender specific is it kind?employer funding HSAFICO credit score credit card mortgage20% down payment avoid feesterm insurancetelevision hosttraditional vs roth 401(k)secure creditone credit cardARM CautionBankruptcypremiumMortgage Credit Availability Indexburn outrising home pricesAARP Social security calculatoraccelerate dental workcredit managementHDHP's are not badstandard ratehome budget after tax costdebtnear historic lowshigh FICO scoreVital Documentsloan is gift401KInfluential Celebrityno fee transferautomatic paymentOne Wallet At A Timeemergency fund universal college accessget over life insurance phobiaearn allowanceForbesBaby BoomersWarner Bros Television Grouphome insuranceRevocable Living Trustshort term goal pay interest while in schoolmax employer matched 401(k) contributionLong Term Care premiumshigh credit score discountallowance taskmoney vowsPersonal FinanceVeterinary SchoolInvest for savings growthUrbana-ChampaignSatisfyingPay Off Debt Before Retirementrefundclosing disclosurefinancial argumentstake actionspeak new goalAdequate Auto and Home InsuranceFederal Funds RateConventional loan PMIstretch out haircut appointmentsdangerous money seasonworst financial mistakeCory BookerCollege of Veterinary MedicineWashingtontoo expensive schoolhealthy gumssetup automatic savings withdraw30 year mortgage advice for college graduatespaid vacationSelfishChanging Livescharges on credit cardultimate compounding giftretirement accountshealthy aging buying car 20163 bucket approachreal estate marketdangerous retirement planSpendingshop online guaranteed level term policySandy Hook Elementary Schoolsocial security never insolventlower premiumdeath benefit needs for familyPBS Specialno life insurance financially irresponsibleoverspend on giftspositivehome related tax break bonus anticipated salarybetter termsis it necessarySchool of Social Worksave money8 RulesAmy Lacyetraise insurance deductibleLong Term Care Insurance be kind to yourselfSuze Orman ScholarshipBankbreakdown projected monthly housing costMoneydoctor no longer in networkSuze Orman spouse Kathy Travismortgage interest tax deductionrequired disclosurecan you afford itdon't spend workaholicfinancial concernHDHP'spush yourself to save more for retirementlow credit scoreAlarm Clock10 year repayment plan become member consider roth 401(k)value moneypercentage of women widowed 75-84increase retirement contribution ratewrite new goalDurable Power of Attorney for Health Careclosing feesSelectQuote.com20% down paymentignore 6 month grace period allowanceFinancial SystemStaffords this year have a fixed 6.8% interest rateFederal Stafford loanpermanent life insuranceStock Investmentsbest interest ratesCOLAsame-sex marriagelive below your means50 over 50exercise reguarlyCivil RightsWall Streetmultiple lendersbudgetStudent Debt Crisisinsurance mistakeescrowPhyllis Shelton expert long-term careone annual feecontribution president Obamaeight month living expense Americans don't use all paid vacation timeUniversity of IllinoisEmployer Matched Contributionpaid in fullhealthy retirement blood pressurerollovercommunity bankpurely financial standpointoverspend on nights outpowerfulLTCi ASAPno retirement funds for down paymentcreate new truthpay credit debt ASAPnegotiate points with bank or sellerdental insurance Young Adult death benefit 20 to 25 times annual incomelong-term care premiumshome buying mistakesreduce withholdingprotect dependent origination feescut monthly cellular billNewtownkids schedule paymentslower interest rateretain separate credit cardsfocus on new truth special saving accountcredit cardgay marriage ban end Florida pay high rate off firstFinancial Power of Attorneyoverspend on dining outETF'smax benefit coveredpublic service career student loan repayment 8 month safety netmortgage disclosurefinancing car Minor Children affordabilitycost of capitalization calculatorteens and moneyautomatic withdraw to savings Revocable Trustage appropriate goalsonly offered while employed holiday spendinglowest cost fund optionbe good examplecommunity collegelong term goalfinancial goal phraseCredit scorephysical healthtaxespaying for collegeIRA contribution gifted moneyborrow each year, capitalization is going to pile up costly legal FICO at least 720real estate mistakeshigher insurance deductiblehealthy youprofessional advisortax refund fraudmonthly benefit best interest of investorsavings pleasureproperty taxadjust allocations Richwomen longer life spaninsurance yearly reviewlower mortgage interestLoveidentity theftRoth 401(k)Communication Skills student loan repayment estimator3% debt transferred prescription tier2016 adjust withholdinggift grandchild IRA contributioncar leasing2015 record year car salessmall changes Gay Couplesshorter payback periodno tax on withdrawlsLTCwomen outlive mentitle insurancestudent loan repaymentwomen long term careretirement plancredit reportmobile appsecured cardco-sign car buying mistakesForbes Top 10dental discount planhigher monthly paymentloan big picture refinancecredit unionFinancialrent vs buyTelepicturesreplace permanent life insurance with term3 savings buckets preexisting condition not coveredbuy down compare monthly expensesswitch to roth 401(k)Overspendingdon't extend mortgage waive home inspection bidmeet monthly TeachLong Term Care shoppingNew York Lifeis it true? loan necessitybad decisionsschedule vacationStudent Loanlet them have 50% controlengaged in financesearn more on savingsfinancial independencecut monthly cable billInterestpeace of mindfamily save at least $100 monthlysave loved ones dependent on incomeHigh FICO Score = Better Rateautomate student loan paymentsMoney-Savingpay more than minimumHSA tax savingsstay positivejuggle multiple financial goalsretirement20 to 25 times annual incomeFree Debt Eliminatorcommissionswomen live longerprotect your familynon conventional routeFinancial AwarenessBeautydebit cardJose Rodriguezwould you decline a bonuswives should be involved in retirementplanNew american Dream raise deductiblesSuze is my biggest mentorno intereststandard deduction Willprotect and provide for minor child be true to yourselfmonthly dental insurance premiumdon't do five year car loanPrime Rate Increasebill paying prioritieshealthy teethroth iramaintain standard of livingBill and Pennysidelinedkeep a scheduleAshley Springerdon't charge a pennyonly refinance if it paysLegal GuardianEmergency Savingsdear suzesocial securityzero rate transfer dealsMoney Markethousing marketmarriage inequalityHDHP commitDeath Benefitgift not loanGiftsUniversity of Floridaincreased auto insurance premiumraising interest ratesFederal Reserveannual cost of living adjustmentverify wellness screening and programsbuy home you can affordpercentage men widowed 75-84HDHP's are good for youcar loanapproved medical 100% tax-freeback door Roth IRAcostly insurance mistakefiduciaryinterest capitalizationlower overall drug cost10% donate to charitystudentpay down car loanFinal Goodbyeinitial tax break AccuQuote.com19 years cash flow problemCommencementcollege graduatepay down student loan debtpublic service loan forgiveness programno private loansuccessiffy incomedo you need life insuranceHolidayPrime Rate Rise 2015Heartcomparison shoppingdebt freebetter loan ratesdoctors in network4 Must Have Documents verify retirement plan with HR or plan sponsor15-year refinance dealHDHP/HSAgraduationfederal student loan deferment get health insurance15 year mortgageFinancial Advicelow mileage discountmax employee matchspring summer file asapno waiting periodHow To Build CreditFHA loan feesno sneaking in feesbuy homeInfluentialsSuze Orman's Money WarsForeclosuredon't ignore open enrollmentemotional stakes2015 financial roadmapterm life insuranceCNBCadult childrendon't derail retirement savingscollege studentcouple financescontribute household expenses 20% equityunexpected expensebig results US Tax Code740 credit scorederailed plandream schoolbad retirement planningreferrals full retirement agelife insuranceunder 18 financial giftfocus on needslong-term care Sandy Hook PromiseMarlo Thomasis it necessary?don't buy wantslousy investmentunsubsidized Stafford loanhome ownershipFinancial Solutions For Youaffordable premiumgrandparent IRA contribution Easy Life Insurance repay student loanscalculate dependents annual income needsfile taxes quicklypay 100% cashinsuranceHoliday Seasonborrowing plan lower ratemortgage broker!00% tuition paidMotherCredit Card Interest RateExhibitionCredit Card Rate Increasevalentines dayAuto Savings Save Us Moneyno late fee Must Have Documentsalways use all paid time offGiftteach your child good money habitsmoney-aware childraising mortgage rates Mass Mutualalternative FICO scoreleave a legacysame sex marriage band end FloridaPost-Divorcedon't defer interest paymentsMost Influential Celebrities Listknow before you owemarriage financial responsibilityrequire chore in exchange for allowancelong term careget the most out of social security 40% toward financial goalstrained relationshipFiscal ResponsibilityGracecredit utilization rateCD'sHigh Credit ScoreteensLifestyleGay Rightsthree year car loanFundsmortgageemergency fund savingsschool suitable2016 adjust estimated tax3 step financial road mapstore credit cardsThe Suze Orman Showinterest on student loansmanage student loanshigh premiumshome loan credit score below 740 Financial Educatorconfident of solutionteach importance of helping othersquick closing8 month emergency fundhigh down paymenthealthy retirement weightCPI-Wdon't use allowance as bribeno splurge savingsgift up to 14,000reduce interest rateincrease emergency savingsfinancial fearsritual scheduleincentives for health care wellness screeninglow-cost index mutual fundStudent Debtbalance transfer Eric Dodge Citi Simplicity Card no negativitylearn good financial choiceskid borrow firstFinancial Cliffpay off debtFixed Rate MortgageCombo Insurance Productsget credit cardfinancial aidconfidentRetirement Incomesocial workFICO Scoreprovider of financial supportstudent loan debtcnbc alarm clockraise your deductiblestudent loan repayment planavoid burn outSwap Older Annuities or Life Insurance no apologychildren under 18january billsFinancial Awareness Video Festival6 month waiting periodsummer job match income best loan deal 20 year level term back-to-school budget401(k) Contributionsyours, mine & oursheartachemental healthovercome financial fearsletter to suzeInflation Benefitdo not pay allowance for good behaviorcompare provider pricinghome buying budgetat worst still pay 75% benefitnot enough life insuranceloan no longer than 36months2017 Taxesitemized deductionLTC shoppingage appropriate choreSuze changed my life

View Blog & News List
People First. Then Money. Then Things.
Connect with me on Facebook Connect with me on YouTube Connect with me on Twitter
© 2017 Suze Orman Media Inc. All rights reserved.
 |  Search  |  Sitemap  |  Privacy  |  Terms
Sign Up For E-mail Offers
Open Panel
Close Panel