Life Insurance for Reno, NV Residents
Premium financing: Empowering you to protect what matters most.
3 Reasons Why Reno, NV Residents Buy Life Insurance
We can definitely agree that Reno, NV is absolutely beautiful, you can experience the four seasons and low taxes. Whether your a native or recently moved to Northern Nevada – finding the best life insurance solution for you and your family can be quite simple.
In our experience we have found that Reno residents typically buy life insurance for the following 3 reasons:
1. Mortgage Protection - Keep The Family Nest Going
If you own a home or recently purchased/refinanced one – it’s important to understand the value Mortgage Protection life insurance serves. Back in the day when you purchased a life insurance policy it only paid out after the death certificate printed.
Today you can have purchase a life insurance policy that has “living benefits” – which allows you to accelerate your policy in the event of a terminal, critical or chronic event.
For example, we had a client purchase a life insurance mortgage protection policy and had a medical event 18mos after purchasing the policy. She was able to accelerate her policy due to a cancer. The costs of chemo, lost of income and having to travel to a specific treatment center placed a burden on the family. The policy allowed them to stay in their home and navigate this unforeseen life event with minimal financial stress.
2. Replacement of Income - Protect The Family Financials
Building a financial wall around your family will reduce the burden and headaches if an unforeseen death were to happen. The time after one passes is the hardest for the family members, making sure that your income or the household income is immediately replaced can really benefit the family long term. Income is a basic necessity to living , with the increasing cost of living it’s best to leave more than 5x your annual income at minimum.
3. Tax Free Wealth Transfer - Bypass Probate
Life Insurance is one of those unique financial instruments that can provide a tax free lump sum to a loved one. More often than not, most of the family money is tied to government retirement accounts (IRA’s, 401ks) and real estate.
Selling real estate isn’t always the best move and liquidating tax deferred accounts can create a tax liability. Having a life insurance policy in place allows for money to be transferred without having to move, sell or reposition other assets.
When a policy pays out, it goes direct to the beneficiary. The beneficiary deposits the money into their checking account and doesn’t have to report it as income.