Life insurance can provide you with peace of mind and comfort while you are living and certainly will provide those you love and care for with peace of mind and comfort upon your death.

Many of us own life insurance, but we may not have a good understanding of why we own the amount that we do.

To help, here are some factors to consider when purchasing a life insurance policy:

• Final expenses such as funeral costs and outstanding medical bills
• Survivor income needs (spouse, child/children)
• Mortgage and other debts you would like to have paid off
• Education funding for children
• Additional funds for charitable objectives or a legacy plan
• Special needs, such as for a disabled child

For businesses, factors to consider are:

• What impact a key employee’s death or disability will have on the survival of the business
• Business loans and other debts you would like to have paid off
• Buy/sell funding, enough to buy the deceased partners share of the business

Life insurance can offer more than just a death benefit.

Did you know that by adding a long-term care services rider to a policy, the death benefit can be made available to the insured for long-term care needs? This is regardless of if they are in their home, nursing home or assisted living facility.

Did you know that you can build cash value in a life insurance policy that provides for accumulation, similar to a Roth IRA? Better yet, a life insurance policy is less restrictive than a Roth IRA. Contributions are not limited based on your income. If the policy is set up correctly, loans and/or distributions can be taken from the policy income tax free.

No one knows when they will pass away. It could be today or many years from now, however the probability of death is 100%.

Having been in the life insurance business for 30 years I have delivered many life insurance claim checks. I have never had a beneficiary state that the amount of life insurance left to them was too much.

To learn more about the benefits of life insurance, please contact Fahmy & Associates today at (703) 760-4630 or email us at kfahmy@fahmyassociates.com.
— Ken Fahmy

CERTIFIED FINANCIAL PLANNER® CHARTERED LIFE UNDERWRITER CHARTERED FINANCIAL CONSULTANT