Despite a majority of Americans agreeing that life insurance is important, ownership has been steadily declining for over a decade.
Today, just over half of U.S. adults—52%— report having life insurance, down from 63% in 2011. Additionally, more than 100 million Americans believe they don’t have enough coverage.1
So, if we know we need it, why do we ignore it? Simple: it makes us uncomfortable.
Naturally, most people don’t want to talk about death. Where do you even start?
While we understand it’s inevitable, that doesn’t make it any easier to face our own mortality or that of our loved ones. And, if that’s not enough to deter you from discussing it, life insurance can be downright confusing.
When a Middle Creek Insurance agent sits down with customers, we help educate each individual by providing a well-rounded view of things they’ll want to consider—yes, life insurance—but also other important things (that we don’t even offer), like wills and trusts, power of attorney or advance directives.2
We understand that when our customers are educated on the topic, they’ll make the right decisions for their families. We’re always making connections with other local professionals who, just like us, want to help empower our Customers to make educated decisions now, not later.
Which type of policy and how much coverage would you recommend?
The beauty here is there’s no wrong answer.
Coverage can be very personalized to each individual and family—term or whole life, additional riders, a variety of face values, etc. Many people come in wanting the Cadillac, but after we talk through their needs, wants and budget, we’re able to find a more right-sized solution, not just the policy with the highest face value. After all, we can design the best plan, but if they can’t afford it, it’s no good to anyone.
Still, how much is really enough?
I recently had a family member pass who did NOT have life insurance. Many, many people asked if she had a policy. The Funeral Home. Her banker. The real estate agent. Other family members. Their awkward silences after explaining that she didn’t buy a policy. She meant to – but she didn’t. So, it’s definitely an important, albeit tricky, topic to discuss. Buying coverage when you are still young and healthy enough to lock in an affordable rate is important.
Our team starts by helping Customers calculate just how much money is needed to support their family after they’re gone. We ask them to consider some common things life insurance can be used for: final expenses, paying off debt, student loans, replacement of income, education/future education or charitable giving. These may not cover all the bases, but they’re great starting points to help calculate how much is enough.
Looking for a better idea of how much coverage you’ll need? Try ERIE’s life insurance calculator.
When it comes to having these hard-to initiate conversations, our best advice is to just do it, don’t wait. And us now to help you better understand your options and feel comfortable throughout the decision-making process. Most people who don’t buy coverage are hesitant because they think life insurance costs more than premiums actually are. Why wonder? Make the uncomfortable call so that you can have all the information. Contact us at 919-524-2149 or contact@middlecreekins.com .
1 2023 Insurance Barometer Study conducted by LIMRA and Life Happens.
2 Neither Erie Insurance Company, Erie Family Life Insurance Company nor its agent representatives give tax or legal advice. Please consult your attorney or tax advisor for answers to tax-related questions.
