If you’re living in Burlington, North Carolina–or anywhere else in the state–you can have as many life insurance policies as you want, provided you keep paying the premiums. Here are three reasons you might consider having more than one life insurance policy:
Extend your term insurance less expensively. Term life insurance is inexpensive, but if you renew when the term is up, you’ll pay a significantly higher price. Combat the rising cost by buying a smaller amount now, buy another term policy in 5 years and then another 5 years later. This will extend your initial coverage by ten more years and should the unexpected happen before then, your family will be in a stable financial position.
Buy more coverage as you have the financial resources. Let’s say you’re a recent college graduate, just got married and have a baby on the way. You know that you need life insurance, but can’t afford more than a $50,000 policy. Don’t hold off until you can buy the $500,000 policy that you want; buy what you can afford now and then buy a new policy each time you’re in a better financial position.
Keep buying new policies until you reach the amount that you feel is right for your family. Diversify your investments. This is the whole, "don’t put all your eggs in one basket" idea. By buying policies through multiple companies, you’re more likely to be okay if one insurance company goes under while you still hold a life insurance policy.
To get more information on buying a life insurance policy, to learn about which type is best for your situation and for help deciding on how much insurance you should buy, contact your independent agent in Burlington. We’re here to help answer any, and all, of your insurance related questions.