Life insurance is a simple answer to a very difficult question: How will my family manage financially when I die? It’s a subject no one really wants to think about. But if someone depends on you, it’s one you cannot avoid. There are many types of life insurance, but for all of them the bottom line is the same: They pay cash to your family after you die, allowing loved ones to remain financially secure.The death- benefit proceeds of a life insurance policy are almost never subject to federal income taxes. The most important part of buying life insurance is determining how much you need. Since everyone’s circumstances and goals are different, there is no rule of thumb to tell you how much to buy. To start, estimate what your family members would need after you’re gone to meet immediate, ongoing, and future financial obligations.Then, add up the resources your surviving family members could draw on to support themselves.These would include things like a spouse’s income, accumulated life savings, life insurance you may already own, etc.The difference between the two is your need for additional life insurance.

Long-Term care insurance helps to cover the costs of your care should you be unable to do certain things on your own. It can be done in your or a family member’s home or a care facility. The costs for this care can be very high and Medicare does not cover them. While the cost of Long-Term Care Insurance is often also quite high, it’s benefit later is usually far greater than the premium cost.