Life Insurance
 How Much is Enough
Deciding to protect your family with life insurance is a responsible and caring act. Yet, almost 48 million American households recognize that they don’t have enough life insurance.* Of this group, 74 percent feel they can’t afford it. Furthermore, 52 percent said they haven’t taken action because they have trouble deciding how much life insurance is right for them. How do you feel about your current life insurance coverage? How should you determine the right amount of life insurance for your situation? First, start by getting an understanding of the total economic contribution you make to your family over your expected lifetime; this is called your Human Life Value.
 Your Insurance Portfolio Allocation
While determining the right amount of life insurance is a challenge for most people, deciding which type of policy can be even more confusing. In fact, almost half of American households who recognize they need more life insurance do not take action because they’re afraid of making the wrong decision—leaving their families’ financial future at risk. Some people feel they need life insurance for a certain period of time—just long enough to meet their responsibilities for those who depend on them. This is typically done with term insurance. Others, however, recognize that owning some form of life insurance for their entire lives can provide them with added security and flexibility as they prepare for life’s possibilities. This is typically done with permanent insurance.
 Your Permanent Insurance Allocation
Many people find that owning some term insurance is an effective way to protect their families and others who depend on them, particularly for the short-term. Many of these same people, however, also want the added security and flexibility of permanent insurance but are unsure as to which type is most suitable for their situation. The most appropriate type of permanent insurance for you is based on your preferences and attitudes toward a range of factors such as risk preference, flexibility, guarantees and your retirement and legacy objectives.
Listed below are several helpful documents to help you understand life insurance:
Life Insurance Basics
Beneficiary Designations
Strategies for Using Life Insurance
Life Insurance Selector
For a quick assessment of How Much insurance you need or What Kind of insurance is right for you, click on the link below for the MetLife Life Insurance Selector tool.
* Trillion Dollar Baby: The Sales Potential of the Underinsured Life Market, Limra International, 2005.
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