Whether you’re a newly married couple or a young family with multiple children, it’s important to safeguard the financial future of your loved ones. Additionally, as you build wealth, you’ll want to protect your family along the way. No one knows what the future holds, which means securing your family’s long-term financial wellness should be a priority at every stage of life.

Even young families in good health need to invest in reliable family protection planning, securing the right life insurance coverage for their unique needs. At Doeren Mayhew Insurance Group, we have more than 130 years of experience helping our clients purchase adequate life insurance with specialized guidance — every step of the way.

What is Life Insurance?

You deserve the peace of mind that you and your family are covered for the long term. Life insurance is a type of policy that guarantees a death benefit, or payout, to a beneficiary if the policyholder dies. There are two main insurance options: term and permanent (or whole). The key differences include the policies’ cost and duration, which both impact the final death benefit.

Why is Life Insurance Important for Young Families?

As you grow your family, life takes on a new meaning, but long-term financial security will remain a steady focus. In planning for your future, it’s essential that you and your spouse feel confident about setting up your family for long-term financial wellness — no matter what happens.

Life insurance is not only an invaluable planning tool to protect your family’s well-being, but it’s also a wise financial investment. Due to limited savings and other assets, young families are often more vulnerable to catastrophic financial difficulties if a spouse passes away unexpectedly. Life insurance coverage can replace lost income, provide a long-term financial safety net, and so much more. This level of financial security is essential for those left behind.

What to look for in Life Insurance Coverage

We help young families of all sizes understand that the earlier you secure life insurance, the greater the benefits in the event of the unforeseen. Statistically, you’ll never be as healthy as you are when you’re young, and as such, your life insurance premiums will never be cheaper.

Here are some other important things to look for when exploring your life insurance options.

Application Process

Insurance companies need to assess your risk potential in order to determine if you qualify for life insurance — and what your rates will be. The application process may be online or in person, and will request information about your finances, health history, lifestyle, and beneficiaries.

Competitive Rates

Some policies are geared toward younger adults with competitive premiums that never increase. For example, a healthy 25-year-old could find a 20-year term life insurance policy with a death benefit of $100,000 for approximately $10 per month.

Medical Exam Requirements

While it is not always necessary, a simple, noninvasive medical examination may be required as part of the underwriting process. This helps insurance companies calculate insurance costs and overall insurability. There is a trend towards no-exam life insurance policies with some life insurance companies. Many now offer competitive rates for policies that don’t require a medical exam, which may be appealing for busy young families.

Policy Types

A wide selection of policy types is important for young families looking for long-term coverage and peace of mind. These may include term life, whole life, universal life, indexed universal life, variable universal life, guaranteed issue life insurance, return on premium, and more. For guidance on the type of insurance policy that’s right for you, contact us to speak with one of our insurance advisors.

Tax Benefits

The potential tax advantages of life insurance policies, such as the tax-free death benefit and, in some cases, tax‑deferred growth of cash value in certain types of policies.

Term Conversion Options

As your family grows and you hit various financial, educational, or personal milestones, your goals might change. It’s important to understand if your term life insurance policy can be converted to whole life coverage and when.

Coverage Length

Each type of life insurance policy offers different lengths of coverage. For example, term life insurance covers you for a set amount of time, such as 10, 20, or 30 years, while permanent, or whole, life insurance provides coverage for an entire lifetime — as long as the premiums are paid and the policy is active.

Financial Planning Considerations

Life insurance can and should be integrated into a broader financial planning strategy. It can work in conjunction with other financial instruments, like retirement accounts, savings, and investments, to provide a comprehensive financial safety net.

Rider Selections

Adding insurance riders is an important way to personalize your policy to fit your and your loved ones’ unique coverage needs.

How We Can Help

At Doeren Mayhew Insurance Group, we offer customized insurance coverage that supports the long-term financial security of young families like yours. Let us help you protect what matters most with our comprehensive life insurance solutions. Contact us to discuss your needs with one of our trusted insurance advisors.