COLUMBUS – Governor John Kasich and Department of Insurance Director Jillian Froment have designated September as Life Insurance Awareness Month in Ohio to emphasize the significance of financial security if a spouse or loved one were to pass away.
“Insurance is designed to provide protection when you need it most and life insurance is a perfect example of that,” Froment said. “Purchasing life insurance can protect your family from the financial effects of an unexpected or untimely death. Because there are different types of life insurance at varying levels, consumers should talk to a life insurance professional when determining the most appropriate coverage for each family’s unique needs.”
Typically, life insurance provides money to beneficiaries selected by the insured. Coverage can be purchased directly from a company, provided as an employee benefit or purchased through an insurance agent. Upon the insured’s death the money could help replace the deceased’s income, fund ongoing expenses, put kids through school, pay the mortgage, car loan, and other debts left behind, as well as cover the deceased’s funeral expenses and estate taxes.
The amount of life insurance a person should purchase to protect their loved ones depends on many factors, including life stage, family picture and financial standing.
Important questions a person should consider include:
- How much of the family income do I provide?
- How would my survivors, especially my children, get by?
- Does anyone else depend on me financially, such as a parent, spouse, grandparent, brother or sister?
- Do I want to set aside money for my children to finish their education?
- How will my family pay final expenses and repay debts after my death?
- Do I have family members or organizations to whom I would like to leave money?
- Will there be estate taxes to pay after my death?
For more information about life insurance visit the Ohio Department of Insurance website at www.insurance.ohio.gov. Consumers with questions can call the department at 1-800-686-1526.