While life insurance isn’t the first thing most people think of when considering what to get a new graduate, it is a surprisingly savvy and welcome gift. It’s actually one of the gifts that seems like a good idea at the time and then becomes more appreciated over time. You will need to get permission from the person receiving the gift, and he or she will need to choose beneficiaries.
A Locked In, Lower Premium
If you purchase a life insurance policy through Silverton Insurance Specialist LLC for someone who is still young, you can get a lower price, and that price won’t go up over time. Life insurance tends to be much more expensive the older you get.
Not only that, but young people won’t have to jump through the same hoops older people often do. There are usually no requirements for physicals or other documentation.
Term Life or Whole Life?
Term life insurance is less expensive, but it only offers a death benefit. You can choose the specific term you think is best, probably 10 or 20 years. The premium and the amount payable won’t change, but the policyholder will be able to rely on it.
With whole life insurance, you can get the death benefit, but there are important additional benefits. Whole life insurance is a permanent kind of insurance, and it will offer lifelong protection as long as the premiums are paid. Unlike term life policies, whole life policies have a cash value which can be cashed in. Similar to term life policies, young people will get a better price and they can lock the savings in by getting the policy as young adults.
If you are thinking about giving a graduation gift that really means something, there aren’t many better choices than life insurance. If you are interested in purchasing a policy, or if you just have questions, call Silverton Insurance Specialist LLC today to see how we can help.