At Black Harbor Wealth Management we believe in life insurance which is why we include it in our wealth management services in Seneca. It is a powerful financial tool with a wealth of benefits for you and the most important people in your life. However, it does more than just give you peace of mind. Life insurance has additional benefits too. Here are five reasons why people like you should make life insurance a part of your financial portfolio.
It Helps Keep Things Going
First, life insurance is about protecting the people who rely on you. It offers death benefit protection that will give your beneficiaries money when you die. If there is anyone who relies on your income for their livelihood such as your spouse, partner, kids, a friend or a family member with special needs, life insurance is one of the best ways you can protect them. This means you can rest assured they will be taken care of.
It Can Help You Pay For The Big Stuff
Some life insurance products, like whole life, universal life, and variable universal life, include an important feature known as cash value. Cash value accumulates over time and may become a valuable asset. You can use your policy’s cash value to help pay tuition bills, make a down payment on a house, give your retirement income a boost and much more. It is your money which means you can use it in any way you want without restrictions.
Lower Your Risk
People don’t always think of insurance as a financial product. Some experts believe that adding life insurance to your overall financial portfolio may actually improve your portfolio’s overall performance.
Another feature that makes life insurance so attractive is its many tax advantages. In most cases, your policy’s death benefit will usually be paid to your beneficiaries free of federal income taxes; they can even use it to help offset any estate tax. If you choose permanent insurance like whole life, universal life, or variable universal life, your policy’s cash value has the ability to grow tax-deferred. You can even access your cash value tax-free too, which means that you can have a tax-free source of extra income if you ever need it. Of course, if you access your cash value through loans or partial surrenders, you will reduce the cash value and death benefit.
More Affordable Than You Think
Whether you are just starting out, looking to protect a growing family, or getting ready for retirement, life insurance can help. With a wide range of solutions comes a wide range of prices. When you include term insurance, you will be surprised how affordable coverage can be.
These are just five reasons that make life insurance a powerful financial tool for everyone. Call our financial experts today and let us help you work towards a prosperous future with the peace of mind that your loved ones are taken care of no matter what.