You have likely seen the commercials for life insurance or work for an employer who offers free life insurance policies as part of its benefits package. However, you may not be clear on what a policy from a life insurance company in Connecticut covers and how much life insurance you need.
First, even if you are the recipient of a policy from your employer, it may not provide enough coverage for your unique situation. The vast majority of group policies cover three times your salary, but insurance agents typically recommend purchasing enough for seven to 10 times your salary. Plus, if you part ways with the company, you will no longer be covered under the policy.
As mentioned earlier, the general formula for coverage terms is seven to 10 times your salary. However, your individual situation determines the precise amount you need. Factors such as having a family, carrying significant personal debt and owning a business can all affect the recommended amount.
Remember, any debt you have is passed onto your next of kin after you die. Plus, burial costs can quickly mount. You want to spare your loved ones the financial strain. Purchasing a policy from a life insurance company in Connecticut is the perfect way to protect them.