Life Insurance is Death Protection ONLY.

Death Protection

“Why spend money on something so morbid?” 

“What’s it’s purpose anyway?”

Why would I invest my money in something used after I die?

“I’m too young to think about life insurance.”

“If you don’t have a spouse or children, there is not point of getting life insurance.”

These are probably all things you’ve either heard or thought about when thinking about permanent life insurance. 

What do most people think the purpose of life insurance is? Death protection.

They aren’t wrong when they say this. Most people do get life insurance to financially protect their family or loved ones once they pass. If the person brought an income to the household, the death benefit will give the other members ongoing protection and support.

However, life insurance isn’t as negative or as morbid as one may think.

Many people do feel the need to get life insurance as a means of protection after death, however there is also a living benefit that may be helpful throughout one’s lifetime. 

Permanent life insurance policy holders get a cash value.

Cash value is money that builds from the money you put into your policy. Basically, it’s a way of investing your money that only grows.

Although many people think life insurance is expensive, it is really a long term investment for yourself.

The money increases on a tax-deferred basis and in most cases, can be withdrawn income-tax free.

Have a child going to college? Did an unexpected expense come up?  Are you interested in starting your own business? Do you want to go on a vacation, but you can’t afford it at the moment?

Another perk of the cash value is that you can take it out whenever you want. Not to say that you should spend this money foolishly, but if you really need it, it’s there to help you meet life goals.

So, life insurance isn’t just to protect your family after you die. 

Life insurance has a living benefit most people don’t know about that may be helpful throughout a lifetime. Your cash value will only grow over time and if you start now, you’ll have more money later on.

Follow us or come back and visit to see us bust more life insurance myths @pennmutualmythbusters!




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