02 March, 2021
Dipping your toes in Term Life Insurance
As the name suggests, it’s a life insurance policy for a duration of a term and not your entire lifetime. Term insurance lets you buy the policy for a few years and pay a certain sum of money every year till the term ends. If anything unfortunate happens to you during the term, your family will receive the death payout.
Buying a new house is a stressful, overwhelming experience. Particularly, as a first-time home buyer, making a significant investment with a mortgage can be a daunting experience. For most, it’s the largest debt to take on. A scary thought to leave your family vulnerable when something unexpected happens – I mean death. Around a third of Americans would end up in such a situation if they lost the primary earner of the household.
A life insurance policy can cushion the blow related to some of the worry associated with buying a house. It grants your family a sense of security and peace of mind by paying off debts, providing for your kids' future – like college tuition, and supplementing your retirement, among other things. Home expenses typically run in the thousands per month – mortgage, insurance, tax, utilities, etc. Term life policies can cost as little as 1-2% of home expenses for Millennial's- a small additional cost for peace of mind – that’s priceless!
The average length of a mortgage is 30 years, indicating the need for long-term protection – a life insurance policy. Most term life policies are also for 30 years. In the process of getting home insurance, first-time homebuyers should also get life insurance because life insurance premiums increase exponentially with age. Buyers in their late 20s and 30s can lock in low rates for the next 30+ years term policy, which gives protection until their kids have graduated college. You’ve got to think ahead. Bubble makes it easy to buy both life and home policies at the same time, saving you time and money, ensuring your home and family are both protected.
Using various online life insurance tools, homeowners can quickly determine the amount of coverage they may need, customize their policy, and estimate the cost of a mortgage life insurance quote. Factor in the mortgage amount, location, age, kids and their ages (or how many you plan to have and when), other debt (like a student loan), lifestyle expenses, etc.
One cost-effective option is to consider incremental policies – buy the base amount policy now, then add on additional coverage of varying amounts and terms when you have kids, buy a second home, parents become dependents, etc. This allows you to only pay for what you need when you need it. Whatever path you choose to take, using the cost estimator on the Bubble website, you can get a quote for both life and home insurance.
Investing in term life insurance can mitigate some of the anxiety involved in purchasing a home. Bubble makes it easy to not only get a quick quote but also purchase life insurance when first-time homebuyers are getting home insurance. It’s a lot more convenient now than ever to buy life and home insurance. Technology has made it easier for insurance providers and buyers so everyone can benefit from it.