As you age, securing a reliable life insurance policy protects your family if something unexpected happens and you pass away. If you are employed, you may opt for a group life policy from the employer. While this is an excellent first step, it may not provide enough coverage, which is why many people also purchase an individual policy. Below is more information about both of them to help you select the right coverage.

Group Life

These plans are offered as an employee benefit through your job. They cover more people in the U.S. than individual plans, and they are convenient because the insurer cannot normally refuse coverage. While this coverage is usually free, the death benefit payout is often relatively small. These typically range from $25,000 to a multiple of your yearly salary, and you cannot customize the policy easily. Additionally, the coverage ends if you lose the job. This free, modest protection is reliable, even though it doesn't provide comprehensive coverage like an individual policy.

Individual Life

Individual life insurance plans are available to purchase separately through an insurance agency or brokerage. There are two types of policies: whole and term. Term policies end when you reach the set term, which is usually between 10 and 20 years. Whole policies last as long as you pay the premium.

For each type, you can tailor the death benefit to your needs and budget. For example, if you want to provide enough money to pay off a mortgage, put a child through college, or support the family for several years, you can increase the death benefit. However, with term coverage, family members only receive the payout if you pass away during the set period. Some whole life insurance policies also offer long-term care benefits and an investment component that lets you accumulate wealth during life.

The largest drawback of these policies is that the insurer can refuse to issue coverage based on a health screening and your family history. Additionally, the monthly premium depends on your current health, and you are responsible for paying it.

If you're interested in investing in an individual life insurance policy, contact Senior Elite Services LLC in Fairview, TN. They offer friendly, client-centered service and invaluable guidance on navigating the confusing insurance landscape. They can also advise you regarding Medicare Prescription Part D coverage, 401(k) rollovers, and applying for social security. Visit the website for more information about their services, and call (615) 266-2603 to schedule a consultation.