Once you’ve made the wise decision to purchase life insurance from L M Insurance & Financial Services LLC, serving the greater Bronx, NY region, the next major decision is to determine how much life insurance to buy. The optimal amount for each person will vary, depending on the circumstances.

Here’s what to consider as you calculate your needs:

Your Family’s Lifestyle

Life insurance should help to keep your family living the lifestyle that they’re accustomed to. You should buy sufficient life insurance to help your surviving partner to provide for the family for at least a year, just as you provided for them. If your family’s lifestyle is modest, you would need less life insurance, and so on.

Your Current Income

Your current income is a good benchmark for calculating how much life insurance to buy. Life insurance won’t be able to completely replace your income, but it should come close to the net value of what you were bringing in.

The Number of Beneficiaries

The larger the family you have, the more life insurance they’ll need. Consider potential future costs of things like orthodontics, sports activities, life enrichment opportunities such as travel, and, of course, higher education. Multiply the amount by the number of children, and then add in a reasonable amount for your other beneficiaries, such as your surviving spouse.

The Monthly Cost

Of course, you’ll need to budget for the cost of having life insurance, which also needs to be considered. The more coverage you have, the higher the premium. However, the younger you start your life insurance policy, the better the rates you’ll get.

Consult With Us

Contact L M Insurance & Financial Services LLC serving Bronx, NY for all the important details about buying life insurance. We’ll help you every step of the way as you make this smart life choice.