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How much life insurance should you buy?


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Wiki User
2015-07-15 19:01:19
2015-07-15 19:01:19

One rule of thumb is to buy an amount equal to five to seven times your annual gross income. But the real question is how much your family will need when you're gone. That depends a lot on the family and what stage of life you're at.

When you plan to buy a life insurance policy, the factors to consider when deciding on the amount of coverage include funeral expenses, education loans, any pending mortgages or debts, and the financial support your family would need in your absence. Five to ten times your annual income is the normally recommended amount suggested. It is preferable to get a professional opinion about this before signing up for anything and many insurance providers and companies offer a personalized analysis of your financial needs, as part of their service.

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They can buy life insurance...and should!

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Whole life insurance does come with several benefits. I would personally suggest term life insurance the the cost savings.


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