A simple way to answer this is by asking: “Do I have anyone dependent on my salary to sustain their standard of living?” In other words, if you were to pass, would those still alive have issues covering the cost of your burial? Covering rent or mortgage payments and other bills? What about any remaining medical costs? Would they have enough money to cover those and still maintain their normal life? If the answer to any of these is “No, they wouldn’t,” then you should consider what life insurance options work best for you and your needs. 

If you're still pondering this question, consider some of these Statistics

The three main types of policies are Term Life, Whole Life, and Universal Life.

• Term Life policies provide affordable temporary protection
• Whole Life and Universal Life policies are also called "permanent" insurance because they are designed to provide life-long protection with wealth-building benefits.

Term Insurance generally has lower premiums than permanent policies. However, term life insurance does not build up cash value that you can use in the future. Term covers you – as the name suggests – for a term of one or more years. If you die within that term, death benefits are paid out. You can renew most term insurance policies for one or more terms, even if your health has changed, though premiums may be higher. So be sure to ask your insurance agent or company if you will have this option to renew after the end of the term and if there is an age cut-off for renewals.  

Permanent Insurance policies remain in place as long as the premium is being paid. They also all have a cash value that increases over time and allows the policyholder to borrow against that cash value. Because of the savings element, the premiums for permanent insurance tend to be higher compared to term insurance premiums. There are four types of permanent life insurance: whole life, universal life, variable life, and variable universal life. You can learn more about these different types of permanent life insurance by contacting us now.

Long-term care insurance can fill in the gaps of your main health insurance policy. Primarily for older adults, it covers the costs of a nursing home, assisted living facility or live-in caretaker if you're no longer able to care for yourself.

While it may seem counterintuitive to pay for another insurance policy, long-term care insurance can make a lot of sense for many seniors and those who need the help that regular insurance policies simply can not provide.

According to the Cost of Care Survey, you can expect to pay the following for various long-term care services:

• In-home health aide or caretaker: $4,957-$5,148 per month
• Assisted living facility or adult day care: $1,690-$4,500 per month
• Nursing home facility: $7,908-$9,034 per month, depending on room privacy

You should also consider your assets. Experts generally recommend having long-term care insurance if you have a healthy nest egg or "medium to large assets to protect.

Long-term care insurance is often worth considering for those wanting to shield their hard-earned assets from the significant expenses of extended care. Many individuals invest a lifetime into building their wealth and don't wish to see it consumed by care costs, potentially leaving nothing for their heirs as they had visualized.

Would you want the costs of your long-term care to fall on loved ones, should you need it?

If not, long-term care insurance may be worth it.

Long-term care insurance helps protect assets, provides choices, and reduces the burden on family caregivers.

Only do business with a licensed insurance agent or company. We are licensed in 46 states in the United States for over 25 plus years:

• A good agent will create a confidential financial needs analysis to determine how much coverage you will need.
• A good agent will provide insurance options based on your needs.
• Do not sign an application until you review it carefully to be sure the answers are complete and accurate.
• Do not buy life insurance unless you intend to stick with your plan.
• When you buy a policy, make the check payable to the company, not the agent.

7.5 million Americans have some form of long-term care insurance as of January 2020.

Medicare and most health insurance, don't pay for long-term care. This type of care (also called "custodial care" or "long-term services and supports") includes medical and non-medical care for people who have a chronic illness or disability.

Long-term care is a range of services and support for your personal care needs.

This amount varies from state to state, with most states using the $2,000 total asset limit. This goes by many names depending on the state, but is commonly known as the Individual Countable Resource Allowance. Some states increase this figure annually based on inflation.

The lookback period is the time before the Medicaid application that Medicaid will look back to see if the applicant or the applicant’s spouse transferred or gave away assets for less than fair-market value. In 48 states this lookback period is 5 years; however, the only exceptions as of January 2024 are California and New York.

California has a 30-month lookback period for Home and Community Based Service (HCBS). See www.medicaidlongtermcare.org For additional information.

If you are getting term life insurance, you should know that there is no cash value. That's why these policies are sometimes called "pure life insurance": they are designed solely to give your beneficiaries a payout if you die during the term. If you want the advantages of cash value that grows in a tax-advantaged way – with funds that can be accessed while you are still alive – you should look into permanent whole or universal insurance.

The death benefit is paid out as an income tax-free lump sum unless the beneficiary chooses to take the benefit as an annuity or in installment payments. There are a few policies where the premium is paid with pre-tax dollars (for example, with some employee benefit plans); in that case, the death benefit may not be income tax-free. A death benefit can also be split: the policyholder can designate more than one beneficiary, for example, by dividing the benefit equally (or not) between their children.