Create a Personal Financial Safety Net
It’s an important part of your personal financial safety net. Rainstone Financial offers a wide range of life insurance solutions to help you protect the ones you love. In the event of your passing, life insurance provides money directly to your beneficiaries. They can use the money for whatever they want, such as:
Income Replacement
While many uses for life insurance exist, there is probably none more important than purchasing it to replace the income of a family’s wage earners in the event of death. Whether a family where both parents are working to support the family or a single parent or couple with only one wage earner whose family depends on the income from that single source – the loss of that income due to death can result in financial devastation.
College Education
Most parents dream of a good life for their children. These dreams may include a college education, and while they are living and working, the funds to fulfill these dreams may be available. But, if the income stops as a result of a parent’s death, those dreams could be shattered. Life insurance can help ensure dollars are available when needed, providing funds for the college education of the surviving spouse or the children.
Paying off Household Debt
A homeowner dies and suddenly the money that paid the mortgage isn’t there anymore. Life insurance on the life of one, or both, wage earners can help provide the money to pay off the mortgage and other bills that come due at death. If the wage earner lives and the life insurance policy also contains cash value, these cash values may be used in later years through partial withdrawals, policy loans, or full surrender to help pay off the mortgage early. Of course, a partial withdrawal, loan or policy surrender will reduce or eliminate future death benefits.
Charitable Giving
Many people regularly donate funds to assist a non-profit organization such as a charity, religious organization or alma mater. They recognize the importance to society of helping these institutions, unfortunately at death their donations will end. The purchase of life insurance on the donor can provide funds in future years to make up for the funds lost at the death of the donor.