by Pamela S Thibodeaux

Created on: April 17, 2010

First and foremost, unless you have a large savings account, life insurance is an absolute necessity and one of the best ways to protect your income! What kind of life insurance you get is dependent on your need but most financial analysts suggest a minimum of 1yr salary in insurance coverage. Consider whether or not that is really enough. Ask yourself questions like:

* Does your spouse work outside the home?

* Does he/she make enough in salary to totally replace your income on top of his or hers?

* Can he/she afford to keep up your current standard of living without help from you or will the family risk losing home and auto in order to simply survive?

* Will your spouse need education and/or training to earn a decent living once you are gone?

* How will he/she pay for that?

* Even with education/training, will he/she make enough to maintain your current lifestyle?

Having adequate life insurance is the best way to protect your family by protecting your income, but what if you’re in an accident or incur some kind of long-term illness before you die? Below are three examples of other insurance that will protect your income in this instance.

1). Disability Income Protection Insurance. Based on your salary and the amount of coverage you elect, DI coverage will allow monetary relief payable to you in the instance you are disabled either short or long term and is coverage you maintain even if you purchase the policy through your employer. Therefore, if you leave your job due to illness or disease or are receiving Workers Compensation due to an injury on the job, you can still receive your DI benefits. Most employers offer this type of insurance, but if not contact your local Allstate, State Farm or AFLAC representative.

2). Credit Life insurance is normally connected to a specific loan (ie; auto or home). Nearly every loan out there offers credit life and/or disability insurance that will kick in and pay your note in the instance of disability or will pay off the note in the occurrence of death.

3). Accidental Death and Dismemberment insurance is the type of insurance often connected to a checking and/or savings account and pays a death benefit only in the instance of accidental means. It is usually pretty cheap and provides a little extra coverage for pennies. However, this is not the best nor should it be the only type of insurance you rely on to protect your family’s income in the instance of your death.

Remember the bible talks about “getting your house in order” and insurance protection is one way to do this and to protect your family by protecting your income.

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