What are the pros and cons of a young employee purchasing life insurance and how does that employee select the best plan?

Pros and Cons of Life Insurance

Life insurance provides your dependents or other beneficiaries with a one-time payment in the event of your death.

In short, a pro of life insurance is that it can cover your debts and responsibilities, such as house and car payments, and provide support for your survivors. A con is that you have to pay monthly or yearly premiums for the coverage.

It can seem strange to think about life insurance when you’re young and healthy. However, even young adults usually have assets and debts, so it’s a good idea to plan for the unexpected. By purchasing a life insurance policy, you have the peace of mind of designating who will inherit any property or other assets, and knowing that there’s a plan to pay your debts and expenses.

When an employer offers group life insurance as a benefit that is paid by the employee (voluntary life insurance), there is an amount for which no underwriting is necessary. That means that there are no medical questions or testing required. This is very different from obtaining individual life insurance on your own. Also, many employers pay for a group life insurance policy that provides a small amount of life insurance for its employees at no cost to them.

Selecting a Life Plan

Just like any other important life decision, you will want to seek the advice of a life insurance broker, such as one at Zenefits, to choose the plan that’s best for you. Insurance is an ever-changing industry, so it’s best to rely on the expertise of a professional who has knowledge of industry trends and plans.

Helpful Link:

Why Should I Buy Life Insurance – Reasons to purchase life insurance