Beyond the Boardroom: Is Life Insurance Still The Smartest Way To Protect Your Family?

Life insurance has existed in one form or another for millennia, so it's quite reasonable to wonder whether it's still relevant in the 21st century. As a busy executive who probably follows a sophisticated investment strategy, is there anything life insurance can do for you that you couldn't do better or less expensively by yourself?

Life at the Top: The Risks Faced by Successful Business Proprietors and Executives

Before you can determine whether life insurance is still relevant to you and your lifestyle, you'll need to consider the primary financial risks that modern executives face.

• Outsized Mortgages - With property prices significantly higher in real terms than at any point in previous generations, top executives are taking on outsized mortgages to acquire the type of residences they desire.

• Complex Financial Arrangements and Responsibilities - Longer lifespans mean many of us are juggling the financial arrangements and responsibilities for young children, partners and elderly parents.

• Iliquid Assets - A significant percentage of your wealth may currently be tied up in stock options and other illiquid assets.

With these specific risks, which previous generations either never had to deal with or faced much smaller versions of, your dependants could be particularly vulnerable to financial shock in the event of your early passing. But should you request life insurance quotes in search of a competitively-priced solution to these risks, or is there a better way?

How Life Insurance Addresses The Risks That Modern Executives Face

A life insurance policy with generous benefits can mitigate all of the risks faced by modern C-suite executives, small business owners and ambitious middle managers.

• Immediate Liquidity - With a lump sum benefit payable on the death of the policyholder, grieving family members receive a much-needed injection of cash.

• Funds to Cover Ongoing Liabilities - A generous policy will provide adequate funds to cover all ongoing liabilities.

• A Nest Egg for the Future - If you choose the right level of cover, you can leave your loved ones not just money to cover their expenses but a nest egg for the future too.

So it's fair to say that life insurance is still relevant to modern executives and still highly effective too. What of the alternatives though? Has a better solution been discovered in recent years?

What Are the Alternatives?

Despite the passing of many centuries since life insurance first became available, there is a paucity of viable alternatives. A savings account large enough to provide adequate funds could take decades to establish, while arranging individual policies to cover mortgage payments, outstanding loans, and funeral expenses is an onerous task.

In Conclusion: Still Relevant and Highly Effective

Not only is life insurance still very relevant and a highly effective defensive tool, but it's also the only solution that really works, without any issues or major hassles. If you want to ensure your family will not suffer financially due to your early passing, a term life insurance policy is designed specifically to meet your needs.