Choosing a beneficiary for your life policy is an important step in the insurance process. Your beneficiary is the individual designated to receive monetary benefits after your demise. Beneficiaries can be family members, friends, co-workers, or a favorite charity in Richardson, TX. These tips from Allegiance Insurance Agency can help you in selecting the right beneficiary for your policy.
Spouse & Children
If your intent in taking out a life policy was to provide financial support for your spouse and children in the event of your unforeseen demise, they will probably be your preferred beneficiaries. Life benefits will help replace your income in meeting your family’s financial needs after you’re gone. These benefits can be used to pay off debts, cover food and rent, pay for your kids’ schooling, and more.
If you’re supporting your aging parents in retirement now, making them your beneficiaries will ensure they continue to receive support after you’re gone.
You may want to designate younger siblings as beneficiaries to help cover their college costs. If you have a sick or disabled sibling, life benefits can help him or her with medical treatment costs.
Your beneficiary doesn’t have to be a family member. You could designate a close friend, co-worker, or business partner in Richardson, TX as your beneficiary to help them financially after you’re gone. You can even name a favorite charity as your beneficiary to provide for needy people in your community.
One or More Beneficiaries?
You can choose one beneficiary to receive your life benefits or divide your benefits between various beneficiaries in whatever way you choose. This gives you greater control in helping loved ones after you’re gone.
To learn more about life insurance options, benefits and costs, call or visit us at Allegiance Insurance Agency.