Top 10 Reasons Why Life Insurance is Important Here in the Philippines

Let’s talk about life insurance.

It is never a “fun” conversation to begin with. However, when you sit down with an expert who has your best interests in mind, you may find that life insurance is something you not only need. It is something essential that you will truly want, as well — to protect your family, dependents, business and your legacy.

Why?

Here are the top ten reasons why you need life insurance.

1. You never know.

Dying unexpectedly — in an accident, by unexpected disease or even of natural causes — can happen at any time. Life insurance supports your loved ones pay the mortgage, bills, even college costs after you’re gone. It also provides tax-free cash to pay estate and death duties. Nothing can definitely replace you in your loved ones’ hearts, but planning ahead with life insurance can make things easier for those you leave behind.

2. Funerals are really expensive, especially here in the Philippines.

In some cases, upwards of 10,000 Pesos to 1 Million Pesos — and we’re not talking about extravagant funeral services or cemetery lot yet. This is just the average cost of an interment ceremony that will be faced by your loved ones.  At an already challenging and emotional time, your life insurance can cover these expenses without financial hardship or further stress.

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3. Protect your family and the people you love.

In your life, you work hard just to make sure that those you love — spouse, partner, children, family members — are taken care of. It’s just as essential to consider providing financial support for the future living costs of surviving dependents. After all, they will have to go on without you. Make sure that they are protected, too. Life insurance is like a safety net for your family when you are gone.

4. Death should NOT mean debt.

Life Insurance can also help your dependents cover any financial duties and responsibilities that are left after your death. Debt can be a terrifying burden, on top of the already emotional toll your absence creates in their lives.

5. Anything can happen.

If you develop a serious illness, you may not be able to get life insurance to the scope you need it — or not get any insurance at all. If you have a terminal illness, life insurance can also cover you with financial support if you were able to get a life insurance before you got terminally ill. Life insurance can also be used in cases of emergencies by requesting a withdrawal.

6. Take care of your business.

Further more, life Insurance is not just for individuals. It can protect a business from financial loss, obligations or unpredictability in the case of the death of a business owner/partner. Whether providing necessary short-term cash or keeping operations going until things settle, life insurance can be invaluable in maintaining the business you have worked so hard to build.

7. It can supplement your retirement.

You can certainly use life insurance to make sure your retirement savings last as long as you do. An annuity is like a do-it-yourself pension plan — you put an amount of money into a life insurance product and in return, you get a guaranteed stream of revenue month after month, for as long as you live.

8. It makes financial sense.

Life insurance is considered a financial asset, which can help increase your net worth. Many policies also have cash value, which even in case of bankruptcy cannot be touched by creditors.

How can you pass your wealth on to the next generation?

9. You can give back to the community.

Life Insurance can enable you to leave a lasting gift to a favorite cause or charity that is much greater than you would otherwise set aside for tithing or donation.

10. Peace of mind, plain and simple.

Absolutely, no amount of money can ever replace a person. But more than anything, life insurance can also help provide protection for the uncertainties in life.

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