Are Your Loved Ones Protected?

September 23, 2015

 

pic-owner-workers-exportFor many American’s thinking about life insurance is not a top priority.  That’s why NSBA members are being encouraged to educate themselves about the important role life insurance plays in helping Americans get the coverage they need to protect themselves and their loved ones.

Individuals often discount the benefits life insurance offers – sometimes forgetting the risk-reward trade off.  Research shows, that 40 percent of Americans have no life insurance1.  This number is surprising.  That’s why AXA is dedicated to helping ensure Americans live with a greater sense of peace of mind – knowing that their beneficiaries are financially protected in the event of an untimely death.

Below are five commonly held beliefs about life insurance that could potentially be jeopardizing the financial futures of loved ones left behind.

Five Common Myths about Life Insurance

  1. Young, healthy individuals do not need life insurance. Assuming the same health and type of policy, the younger you are when you purchase a life insurance policy, the lower the premiums you will pay.  Obtaining a policy at a younger age can help ensure that people who depend on you will be financially secure in an unforeseen event. Even though you may be healthy, you often make multiple large purchases, like a home or car, that could present financial hardship to your dependents should anything happen to you at that time.
  1. Life Insurance is too expensive. A recent study conducted by Life Happens and LIMRA found that while 25 percent of Americans said they needed more life insurance only 10 percent planned to purchase within the next year due to cost,.  However 80 percent of those individuals misjudge the price.1   Term life insurance is generally more affordable than permanent insurance, with different options depending on your personal needs.
  1. Only the breadwinner needs life insurance.  It is important to insure both spouses, regardless of income. Although you may not bring in the most income, you still impact your family’s financial stability. With enough life insurance, you are covered by your policy in the event of an emergency, leaving your spouse and family with no financial burden.
  1. If you don’t have children you don’t need life insurance. Although you do not have dependents to support, your spouse can feel the financial burden of loss in the event of your death. Funeral costs combined with routine expenses can become too expensive for one income.
  1. You have to pay taxes on a death benefit from a life insurance policy. In most circumstances, benefits paid upon death are income-tax free to your named beneficiaries.

Join the conversation by calling 800-523-1125 email axalife@axa.us.com to learn more about how you can add life insurance to your financial plan.  You can also visit https://us.axa.com/offer/assoct2/termassociations.html  to learn more.

 

* This article was contributed by Linda Lyons, Relationship Manager at AXA, an NSBA corporate partner.

 

12015 Insurance Barometer Study, Life Happens® and LIMRA International (Life Insurance and Market Research Association).

 

“AXA” is the brand name of AXA Equitable Financial Services, LLC and its family of companies, including AXA Equitable Life Insurance Company (NY, NY), MONY Life Insurance Company of America (AZ stock company, administrative office: Jersey City, NJ), AXA Advisors, LLC, and AXA Distributors, LLC. AXA S.A. is a French holding company for a group of international insurance and financial services companies, including AXA Equitable Financial Services, LLC.  This brand name change does not change the legal name of any of the AXA Equitable Financial Services, LLC companies. The obligations of AXA Equitable Life Insurance Company and MONY Life Insurance Company of America are backed solely by their own claims-paying ability. 
Life insurance is subject to underwriting, exclusions, limitations and terms for keeping it in force. Your financial professional can provide you with more complete details.
Life insurance products are issued by AXA Equitable Life Insurance Company (AXA Equitable), New York, NY, and MONY Life Insurance Company of America (MONY America), an Arizona stock corporation with its main administrative office in Jersey City, NJ. Variable life insurance products are co-distributed by AXA Advisors, LLC and AXA Distributors, LLC. AXA Equitable, MONY America, AXA Advisors and AXA Distributors are affiliated companies and do not provide tax legal advice. You should consult your own tax and legal advisors regarding your individual circumstances. 
GE-106580 (9/15) (Exp. 9/17)