Personal
- Funeral – Life insurance proceeds can ensure that there is enough money for proper funeral and burial expenses.
- Debt – Personal bills, credit card debt, student loans, and personal notes can be covered by life insurance in the event of an individual’s death.
- Mortgage Protection – The proceeds of a life insurance policy can pay off the balance of a mortgage or provide an income stream to pay monthly mortgage or rent payments.
- Income Replacement – In the event of an individual’s death, life insurance proceeds can provide a supplemental income stream to ensure that the surviving family members are able to maintain the same standard of living.
- Education – Life insurance proceeds can ensure that the education costs of the insured’s children are covered.
- Taxes – Federal estate and state inheritance taxes can be pre-funded using life insurance to preserve the value of an estate.
- Donations/Gifts – An individual can use a life insurance policy to fund a donation to a charity or leave a gift to a family member.
