It is important that you and your spouse each have a life insurance policy. This kind of insurance provides financial protection in case the worst happens, and one of you passes away. Despite it’s importance, many people decide to let their life insurance policy lapse. You really shouldn’t do that!
Life insurance is a great way to ensure that there will be enough money to pay for the expenses that arise when you, or your spouse, dies. This kind of insurance policy will help pay for the costs of burial and for the medical bills involved that were not already covered by a life insurance policy. It can also help with the loss of income that was coming from the person who died. What if you, or your spouse, didn’t have a life insurance policy? It would mean that your family would have to pay a lot of bills out of their own pocket.
In order to get a life insurance policy, a person has to go through all the required steps. You will need to speak to an insurance agent, and review the details of the life insurance policy they offer. There are forms that need to be filled out and signed. Next, you begin paying for this insurance. After that, you have to go through a telephone interview where a person who works for the insurance company will ask you many questions about your health. The last step involves a short medical exam, administered by another person who works for the insurance company. After all this information is reviewed, the insurance agent will let the person know if he or she has been accepted, or has been denied, the life insurance policy. It takes time, money, and effort to get a life insurance policy. It isn’t always possible to get this policy reinstated after you have let it lapse.
So, considering how involved it is to get one, why would a person let his or her insurance policy lapse? One reason is that, unlike car insurance, no one is required to get a life insurance policy. When money gets tight, a person must cut out some expenses, and some people will feel as though they do not need their life insurance policy. Instead, talk to your insurance agent, and see if you can get a lower premium. Other people simply forget to pay the premium on time, and that delay can cause a policy to lapse. In this case, you might want to set up an automatic payment, and avoid that problem.
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