LONDON -- (Marketwired) -- 04/30/13 -- According to England's Guardian Wealth Management, many individuals are aware of their need for life insurance coverage -- but the question is, how much life insurance does a person truly need? This question serves as the focal point of a recent article in U.S. News and World Report, which offers numerous points for insurance shoppers to consider. Guardian Wealth Management has weighed in on the article, and on the pressing issues contained therein, via a new statement to the press.
"There is no single number or percentage that can be given to those wondering how much life insurance is enough," the company affirms in its new press statement. "Every individual and every family has different life insurance needs. With that said, there are certainly some guidelines to follow, and this article does a great job of summarizing some of those guidelines."
The first guideline offered by U.S. News and World Report is for consumers to avoid reliance on "simplistic" life insurance calculators. While these tools can provide a reasonable baseline figure, the article contends, they ultimately cannot account for all of the complex factors that could influence an individual's life insurance needs. High mortgage payments and college tuition fees are often left out of the equation, just to name two examples.
The next guideline offered to life insurance consumers is to take inflation into account. Many life insurance patrons plan to replace future earnings, but they do not take into account the influence of inflation and how it might affect future living expenses, the article contends.
Another key factor is to take into account current resources. Some life insurance patrons fail to do so, and as such they end up overpaying for life insurance coverage. "It is important to remember current savings accounts and retirement savings," Guardian offers.
On a related note, however, individuals are also encouraged to assess any debt or financial liabilities that they may possess. "This is the other side of the coin," Guardian notes. "Obviously, your savings can help you, but large debts can work against you. You will need to provide enough life insurance coverage for your survivors to pay off that debt."
The bottom line, according to Guardian Wealth Management, is that life insurance needs are as diverse as people themselves. "The only real answer is to sit down with a licensed life insurance professional and to do the calculations," the company offers.
Based in England and serving British citizens and expats alike, Guardian Wealth Management offers myriad financial services, among them life insurance.
Guardian Wealth Management is an independent financial services company, delivering a variety of wealth analysis and management services to clients in the UK, in the Middle East, and abroad. With several offices and a large, dedicated team of financial professionals, Guardian Wealth Management is proud to render retirement planning, education fund planning, and general financial planning services, as well as life and health insurance and more. The company was founded by long-time financial services professional David Howell.
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