©2018 - Homestead Insurance Agency, Inc.

Serving Medina County and Northeast Ohio
(330) 225-3100
(330) 725-3100
Fax (330) 225-5044
1324 Pearl Rd.P.O. Box 0802
Brunswick, Oh. 44212

 

 

Medina County Gazette - Best of the Best Insurance 2012 Best of Medina County - 2011

 

 

FAQ

Life Insurance

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How Much Life Insurance Do I Need?

  1. One of the old rules used to be five to eight times your annual income. So, if you earned $40,000 per year, you should have $200,000 to $320,000 of coverage. The government raised that limit for the beneficiaries of New York's' 9/11 victims and allowed for ten to twenty times the annual income which becomes $400,000 to $800,000 for an annual salary of $40,000.
  2. One of the easiest methods is what amount would I need at X% interest to compensate for my loss of income without invading the principal. If, for example, I wanted to make sure my family had $20,000 coming in plus social security, I would need $400,000 at 5% interest to generate the $20,000 a year.

In that way, in the event of another serious issue, the principal would be available to spend for common needs like college or medical bills or an unforeseen disaster. When it seems that things can't get any worse, remember, they often do.

A Homestead Insurance agent will evaluate your present and future financial situation to guarantee that you are covered for life. We'll discuss the right type and amount of life insurance that's available to you, and we'll provide periodic reviews of your needs as they change.

We are prepared to provide you with a no cost, no obligation review and comparison of your insurance. Contact us today to schedule an appointment.

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