Graduation - One of Life's Pivotal Moments to Consider Your Future

Graduation is a Pivotal Moment. Life changes give us an opportunity to realize that current insurance coverage might not meet your needs - or that a lack of coverage may need to be remedied. Life insurance isn't just for established adults - it's for everyone who has responsibilities such as a car payment, mortgage or student loans. Purchasing life insurance and being fully insured is a great way to secure your financial future.

Graduation Pivotal Moments As you enter the world of car payments and career changes, it's probable that you don't have life insurance. Your parents may have had a life insurance policy on your behalf, but as you graduate and enter the real world, it's time to insure yourself. Just as you pay for your own car or health insurance, life insurance can be something you purchase as well. Sometimes, your employer or health insurance provider may provide a life insurance option, which is often a great start. However, even if you have a life insurance policy provided through your employer, purchasing additional life insurance is a great idea. After all, when it comes to life insurance, you want a safety net that is big enough for every need you and your future family might have. So really, as you build a life for yourself, there are several life insurance questions you can consider. For example, you'll want to gather information about your current life insurance coverage, and if you don't have coverage, you'll want to consider if a life insurance policy is right for you. You may also want to take a look at any life insurance coverage you do have, whether it's through your parents, your employer, or your health plan. Determine if you have enough life insurance coverage to take care of your financial responsibilities if something were to happen to you. Just like you, your life insurance package will be unique. After all, do you need the same life insurance coverage as your downstairs neighbor, who owns her own business? Or do you need the same coverage as your college professor who has three children? Each person's life insurance need is different. So, as you consider what your life insurance needs are, you can work with an insurance professional who understands your situation and your future plans.

There are two primary types of policies, and you can typically personalize each type of life insurance policy based on your needs. Whole life insurance policies cover you from the time the policy is purchased until the end of the policyholder's life, regardless of age. The term life insurance policy is usually less expensive than permanent or whole life, but term plans only cover a specific time period - for example, from purchase to age 65. Term policies get increasingly more expensive with age, so most younger policyholders decide to purchase the longest term available to lock in the best monthly premium price possible.

The next thing to consider: How much life insurance is right for you? As we have already mentioned, each person's life insurance needs are unique. An industry rule of thumb you can consider as a baseline for your situation is that you should purchase enough life insurance to replace five to seven years of your salary at a minimum. However, you may have other financial obligations you're responsible for - such as the purchase of a new car or your first home. So, if your goal is for your family to have no financial concerns if something were to happen to you, you'll want to consult with a life insurance professional to determine the coverage that's right for you.

Many recent graduates may think that because they're on a tight budget, life insurance isn't an affordable option. As you consider your financial future, you will realize that you can not afford not to be covered. The younger you are when you buy your life insurance policy, the more affordable it often is. So waiting to make an important financial decision such as purchasing life insurance could cost you. Don't make a costly mistake by waiting to consider life insurance coverage. Investigating life insurance options now will likely surprise you with how affordable being covered can be.

Before buying any life insurance policy, research the company you're considering purchasing your policy from. Life insurance can be an emotional decision, but it's also a business transaction. You should work with a reliable company that has a track record of offering the best for their policyholders. One thing you can do, to be certain you're working with a reputable insurance company, is to check rating agencies. Standard and Poor's and A.M. Best, rate insurance companies on their claims paying abilities. There is more to consider then just price, when reviewing life insurance coverage. You want your insurance company to be there for you for the long term.


Life insurance is a serious decision, and considering options may take time. If you work with a life insurance professional who walks you through insurance industry terms, you will be able to make a smart decision that protects you and your future.

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Life insurance is not a matter of if, it's when. Get an instant life insurance quote at Pivot.com. Our goal at Pivot is to provide you with the best life insurance policy to fit your specific family situation and financial goals. We want to be a partner that walks through all of Life's Pivotal Moments with you.