Life Insurance in Chicago, IL
Your family’s financial security requires thoughtful planning. Life insurance is a tool that can help simplify that process.
Why is Life Insurance Important?
Unexpected events can create financial hardships for families. Life insurance offers a way to help cover essential costs such as mortgage payments, medical bills or educational expenses. It may prevent financial strain by providing funds to replace lost income or cover outstanding debts. Some life insurance policies also offer supplemental retirement income through cash value accumulation.
What Expenses Does Life Insurance Cover?
Life insurance may provide your beneficiaries a “death benefit” upon your passing. They may use this tax-free amount for various purposes, including the following:
- Funeral and burial expenses
- Outstanding debts (e.g., mortgage, car loans)
- Replacing lost income
- Children’s education costs
- Everyday living expenses
- Creating an inheritance
How Much Does Life Insurance Cost?
Rates of life insurance premiums depend on several factors, including the type of policy, coverage amount, policyholder’s age, health and lifestyle. Term life insurance, which may provide coverage for a set period, is usually more affordable than permanent life insurance, which lasts a lifetime and includes a cash value component.
How is Life Insurance Paid Out?
Life insurance benefits are usually paid to beneficiaries after the insured’s death and claim verification. Most payouts come as a tax-free lump sum, though some policies offer installment options spreading payments over time. Beneficiaries must submit a death certificate and claim form to initiate the process. Once the claim is approved, payment may occur within 30-60 days.
Contact Life Insurance Agents Near You
Contact Illinois Insurance Family today to explore affordable life insurance options. Our knowledgeable team is here to assist you every step of the way.