1 Timothy 5:8
“But if anyone does not provide for his relatives,
and especially for members of his household,
he has denied the faith and is worse than an unbeliever.”
There are at least 102 million Americans living with a life insurance coverage gap. That are people that are insured or underinsured that say they need more life insurance coverage. There are generally three types of life insurance policies: term, whole, and index universal. For all types, there is a beneficiary that receives a sum of money, or death benefit, upon the loss of the policy holder. Term is for a set amount of time, while whole and index universal covers one for their entire life. Both whole and index universal have a cash value and one pays into the policy only for a certain amount of time.
Insuring oneself can truly make a difference in financial security. 70% of insurance owners felt protected, while only 49% of nonowners did. The death benefit can cover burial expenses and even the transfer of wealth or inheritance. Some of the top reasons people do not buy life insurance includes the expense, having other financial priorities, and uncertainty over which type to buy. This is where a financial advisor can certainly help direct you. Life Insurance is, in fact, an investment.
There are many obligations that one holds as a family member. These are both financial and relational. It could be the mortgage on the house or the support you provide to family members. 42% of households would face financial hardship within six months if a wage-earner died unexpectedly. 25% of households would suffer financially within one month. Reliance on wage-earners is evident, and the possibility of fatality could be detrimental. That is why it is important to have a plan in place in case the worst happens.
As the Bible verse states, “but if anyone does not provide for his relatives, and especially for those in his household, he has denied the faith and is worse than an unbeliever.” Through faith: we give, we provide, and we walk. We do not know the future. Only God has the full information for the path of our lives, but if we can provide given the inevitability of our death, we are certainly entering His Kingdom.
Investment advisory products and services made available through AE Wealth Management, LLC (AEWM), a Registered Investment Advisor. AE Wealth Management LLC provides services without regard to religious affiliation and the views of individual advisors are not necessarily the views of AE Wealth Management. The information and opinions contained in any of the material requested from this website are provided by third parties and have been obtained from sources believed to be reliable, but accuracy and completeness cannot be guaranteed. They are given for informational purposes only and are not a solicitation to buy or sell any of the products mentioned. The information is not intended to be used as the sole basis for financial decisions, nor should it be construed as advice designed to meet the particular needs of an individual’s situation. 2197721 – 01/24
Citations
2023 Life Insurance Fact Sheet – Limra.Com, www.limra.com/siteassets/newsroom/liam/2023/0859-2023-liam-fact-sheet-2023_final.pdf. Accessed 11 Jan. 2024.
“Life Insurance Awareness Month 2023.” LIMRA.Com, www.limra.com/en/newsroom/liam/. Accessed 9 Jan. 2024.