Purchasing
a Waiver of Premium Option for Life Insurance
Do you have life
insurance? If not you should most definitely get some sort of life coverage.
Nothing can truly replace you should an unforeseen tragedy occur, but you can
protect your loved ones. After you have sifted through the myriad of
paperwork, had your physical and have decided on a company that you think will
suit your life insurance needs, you will need to think about how much to
purchase and your premiums. There are various options available but everyone
who purchases a life insurance plan should consider a waiver of premium.
You may be asking
yourself what exactly a waiver of premium is. A waiver of premium is an extra
option you can purchase on top of your life insurance policy. It protects you
in the event of serious illness or injury. You need to consider how your
premiums will be paid if you are disabled in an accident or you develop a
serious illness which makes it impossible for you to continue working. By
purchasing this option your insurance company will agree to pay your premiums
for you.
You may be asking
yourself, is this really necessary? Ask yourself this question. Why did
you purchase life insurance to begin with? Most likely to protect your family
and other loved ones should you die. How effective is that policy going to be
if you are disabled through accident or illness and you have to stop work? You
may experience financial difficulty. You may find it a struggle to pay your
premiums and your policy could lapse. The life insurance policy you initially
purchased will be of no use to your loved ones then.
You may be wondering how
this waiver of premium will affect your current life insurance costs. A waiver
of premium is an extra cost on top of your standard life insurance policy. Your
monthly premium will go up but only slightly. This will of course vary across
life insurance companies but most will make it worth your while to buy it. Some
offer it for as little as 2 percent on top of your normal policy.
You may be wondering what
defines serious illness or injury. This will certainly be different for various
insurance companies. Some will begin paying your premiums once you have been
out of work for 6 months, some may impose a longer length of time. The terms
and conditions are set by the individual insurance company and you should
research this until you find something you are comfortable with.
Everyone, regardless of
age, health or financial status should consider purchasing a waiver of premium
option on their life insurance. None of us knows what the future holds. You may
be healthy one day but a simple twist of fate could alter that dramatically.
With very little added cost added, your financial well being could be protected
in the event of an unforeseen tragedy. Why put yourself and loved ones through
unnecessary financial worry when a waiver of premium option could offer all of
you protection and peace of mind?