Anything free sounds like music to the ear, but that isn’t always the case when it comes to insurance.
Life insurance offered through an employer can be a great benefit. In most cases, however, it comes with limitations. That’s why it’s important to have additional coverage beyond what is offered through your employer.
Low coverage amount
While most employers offer life insurance, the coverage amount is typically not enough to cover all debts and final expenses. According to CNBC, 108 million Americans have insurance through a group plan, while 102 million are insured through a plan they’ve purchased for themselves.
With a personal life insurance policy, you can ensure the appropriate amount of coverage is in place to provide peace of mind and financial protection to your family.
So, how much is enough? When determining coverage amount, you’ll want to make sure there’s enough to cover any debts, expenses and consider other aspects like paying for your child’s college years. Alfa’s Life Needs Analysis is a great start in helping you take stock of your finances, but make sure you’re working with your local insurance agent or other financial professional to ensure you’re sufficiently covered.
Nothing is permanent
Employer-provided life insurance policies typically end when you retire, are terminated or separate from the company. If you have a personal policy in place, you’re ensuring you’ve still got the coverage and protection needed when the employer policy ends.
Declining health
As you get older, health issues start to increase. Policy coverage can depend on your age, so getting a policy when you are younger can help keep the coverage cost lower. The longer you wait to get coverage, the more it will cost due to the risk of greater health problems.
Building cash value
Some insurance policies build cash value, but policies offered through employers do not. If you’re interested in a policy that offers the protection you need while adding extra financial value, there are personal life insurance options that can provide the extra benefit you’re looking for. Learn more about Alfa’s® permanent life insurance plans today.
When it comes to taking care of your loved ones, having life insurance in place is essential. Employer-provided insurance is a nice benefit, but it shouldn’t be the only option you rely on. Contact your local Alfa® agent to get the coverage you need today.