Individual life insurance can be one of the best investments for many men and women. It provides you with a policy designed for you. By comparison, group life provides coverage for a larger group of people. It offers less customization and may not meet all of your needs, however. Which type of coverage is right for you?
There are a few key things to consider when choosing either form. A meeting with your agent tends to be best. Here is a brief look at some concerns.
What Is Individual Life Insurance?
The best way to describe individual life insurance is to consider what the opposite is. Group life insurance is a set of policies purchased by an organization for a group of people. An employer may purchase, for example, policies for their entire team. If you meet that organization’s requirements, you can get coverage under that plan. It seems pretty simple, right?
The problem is group life has limitations. You do not get to control a great deal of the details of that policy. In some cases, this means the policy just may not work for you. If your employer offers group life, and you have to pay for it, it may be best to consider what individual life insurance can offer to you instead.
The Benefits of Individual Coverage
Individual life insurance offers more flexibility for many people. With life insurance, you probably want that flexibility. That is because you need to control what type of protections are in place for your family. Here are a few reasons individual life insurance tends to be better.
You choose the amount of coverage right for your family. Most group policies offer limitations here. Individual policies allow you to choose how much is best for your loved ones.
Individual insurance can be term life or whole life policies. This means they can apply for a specific length of time or for your entire life. You choose how they work for you.
One option you may have is a hybrid option. You can purchase both group and individual coverage. This may extend your coverage as you would like it. Talk to your agent about your options. Learn about the availability of life insurance policies for your needs. Consider purchasing a policy to fit your needs.