How Can Life Insurance Protect My Family?

Life insurance is confusing and sometimes a scary topic for many people. Among other confusing bits of information, many people wonder why exactly they should carry life insurance and how it can protect their family. Allegiance Insurance Agency of Richardson, TX wants to answer these questions for you.

Life insurance is insurance coverage that is given to your beneficiaries when you pass due to a covered event. The amount of coverage and time limit of that coverage depends on the insurance you obtain. For instance, you might either choose term life or whole life. Term life is insurance that covers your death for the specified period of time you choose. Whole life covers your death for your entire life, as long as you have paid your premiums and your death is due to a covered event.

When the insurance payments are given to your beneficiaries, they can use it for what they need. A portion of it typically goes to cover your funeral costs, unless you have prepaid for your burial and service. After those costs are covered, the money can be used toward anything that the beneficiary sees fit to spend it on. Many common ways it is spent include the following:

  • To pay off any debts left in your name, including mortgages and vehicles. This helps to ensure that your family can stay in the family home as opposed to losing it if they cannot pay for it.
  • To send children to college. Many parents use the money to ensure the children get a quality education.
  • To cover medical care. If you have a sick or disabled family member, the benefits can be used to continue their care.
  • To cover everyday living expenses. Some people leave the money in the bank and use it to cover regular expenses. This helps your family maintain the same quality of life they would have if you were still alive.

There are no limits as to what the benefits can be used for, but it is a definite way to protect your family financially in the event of your death.

For more information on life insurance and how it can help your family, Allegiance Insurance Agency is here for you. If you are in or around the Richardson, TX area, stop by or give us a call today.

What Type of Business Losses Are Covered by Commercial Insurance

Business owners in the Richardson, TX area need to assess all the risks they face each day by renting building space and providing a product or service to the general public. Often, this means conferring with staff members of Allegiance Insurance Agency to choose the right commercial insurance coverage that protects the business from all potential losses. 

It’s important for small businesses to protect themselves. Thus, protecting yourself as an owner from financial demise. 

The Importance of Business Interruption Insurance

A standard commercial insurance policy covers all physical damage (office furniture in a fire or a storm-damaged workplace) and pays for the cost of rebuilding or replacing the property itself. But, comprehensive commercial insurance coverage will be needed for the inability to operate your business because of property damage. 

This specialized coverage is called business interruption insurance, which assists with keeping business owners in good financial standing during severe catastrophes. Despite the unexpected disruption, businesses are still required to pay all outstanding debts regardless of lost revenue. The coverage can assist with many of these costs, including rent, utility bills and operating your business from a temporary location. 

Adding Liability and Worker’s Compensation Coverage is Key

Most commercial insurance policies will have additional provisions that include liability coverage. It’s a comprehensive option that is a must for all businesses. Liability coverage will protect them from financial losses that are related to illness, possible medical expenses and personal damage caused by the businesses’ daily operations of products or services offered to consumers. 

Worker’s compensation is another ultra-important commercial insurance coverage for businesses that employ a large number of workers. The coverage pays for all benefits of an employee who has become ill or injured while on the job. In the event of their death, worker’s compensation will make sure the employee’s family receives their benefits as well. 

Small business owners should update their commercial insurance policies on an annual basis, so as to protect their finances. The commercial insurance agents of Allegiance Insurance Agency of Richardson, TX can fulfill all of your coverage needs. Contact them today as they can answer all of your questions. This will ensure your business will have the right commercial insurance coverage to protect your interests.