Can you have too much term life insurance?
Yes, you can be overinsured with too much life insurance. This occurs when your policy amount outweighs your financial obligations minus your assets.
Can we have two life insurance policies?
Yes, you can take out multiple life insurance policies with more than one provider. There is no law to prohibit this, and if the worst happened, it would be possible to claim against each policy.
What is the biggest disadvantage of term life insurance?
The biggest disadvantages of term life insurance are that you must pay premiums to keep the policy active and your coverage expires after a set period of time.
What is a good term insurance amount?
Financial experts often recommend purchasing 10 to 15 times your annual income in coverage, although your personal number may be higher or lower.
How long should the term of my life insurance be?
A life insurance policy should last at least as many years as you plan to spend paying off your mortgage or credit card debt. This can protect your loved ones from being responsible for your debts if something happens to you.