What Is Life Insurance?
Life insurance is a financial safety net for the people who depend on you. If something happens to you, a life insurance policy provides money (called a "death benefit") to your beneficiaries—usually family members.
Think of it as replacing your income and helping cover expenses like:
- Mortgage payments
- Day-to-day living costs
- Children's education
- Outstanding debts
Types of Life Insurance
Term Life Insurance
Term life is straightforward: you pay premiums for a set period (10, 20, or 30 years), and if you pass away during that time, your beneficiaries receive the death benefit.
Best for: Young families, people with mortgages, or anyone who needs coverage for a specific time period.
Permanent Life Insurance
Permanent policies cover you for your entire life and include a savings component called "cash value" that grows over time.
Best for: Estate planning, leaving a legacy, or those who want lifelong coverage.
How Much Coverage Might You Need?
A common starting point is 10-12 times your annual income, but your actual needs depend on:
- Your family's monthly expenses
- Outstanding debts (mortgage, car loans, student loans)
- Future costs like college tuition
- Existing savings and investments
Our Life Coverage Estimator can help you think through these factors.
Still not sure how much coverage you actually need? Lexi can help you work through it.
When to Consider Life Insurance
Life insurance often makes sense when:
- You're getting married
- You're starting a family
- You're buying a home
- You're the primary income earner
- Someone cosigned a loan with you
Next Steps
Understanding your options is the first step. When you're ready, having a conversation with a licensed agent can help you find coverage that fits your situation—with no pressure and no obligation.