Reader’s Question:

I want to get a life insurance policy but I would mainly need it to protect my daughter who is still in grade school here in California, should I go with a short-term insurance policy or should I go with a permanent one?

Ira

Costa Mesa, CA

The best way to choose a life insurance policy is to get something that would fit your personal goals or needs. This means one must first understand why life insurance coverage is needed. Life insurance provides a financial safety net for you when you get old, or for anyone you may leave behind who relies on you primarily.

In your case, you may be interested in getting a Term Life Insurance Plan. Since you are still supporting your daughter there in California (and I imagine your going to be doing so for a while) you want to make sure that her financial needs in the future are secured if ever that you pass away. Term life is very affordable and provides a relatively high sum of money or “face value”. You can get ten, twenty even thirty-year long policy periods that should be enough financial protection until your daughter until she is old enough to take care of herself. One drawback though is that term life tends to be more expensive in the long run, especially when the person being insured is older

If your goal is to be able to bequeath a lump sum of money to your daughter once your gone, without having to renew your policy every now and then, you may see that a Whole Life Insurance policy would be a better choice. This is policy is meant to be enforced as long as the insured is alive and is generally much cheaper in the long run than term life.

Tags: Affordable term life, affordable whole life, life insurance advise, life insurance info, cheap life insurance