By supporting banks run by women and people of color, you can promote equal opportunity and diversity. Choosing a Life Insurance Company Life insurance can provide financial security for your family, pay off your debts, and pay funeral expenses in the event of your. If you do need life insurance, the generally recommended amount is five to seven times one's annual income. There are different types of policies ranging in price and benefits. Term life insurance provides protection for a specific period of time with no cash value, at a premium based on your age.
Premiums increase annually.
It is usually the least expensive, and is best for those who are young and healthy. In effect, your money is building up in an account each year, which you could use in an emergency, but the return on this account compared to other investments is low. This can be an advantage as your financial situation changes over time. Put more money in the policy if you start earning more money, or lower the death benefit as your children become financially independent. Variable life insurance allows the cash value to fluctuate based on the yields of a separate equity, money market, stock, or bond fund into which your premiums are placed.