Life Insurance to Replace a Spouse's Income?

Can you purchase life insurance to replace a spouse's income?

Yes, if you're married you can buy life insurance on your spouse, (with his or her knowledge), because you have an insurable interest in your spouse.

Buying life insurance to replace your spouse's income is one of the most popular reasons people buy life insurance.

You are choosing to provide financial security for your family should your spouse pass away, by insuring his (her) income with life insurance.

That way, your family can maintain their standard of living and have funds available to help pay their living expenses should your spouse die.

Learn more about purchasing life insurance to replace spouse's income.

Life Insurance for Income Replacement

Would your family be able to pay the monthly bills if you were to pass away?

Term life insurance coverage is easy to understand, providing a set amount of life insurance coverage for a specific amount of time (usually 10, 15, 20 or 30 years).

If you were to die during the "term" of your term life insurance policy, your "beneficiary" would receive the full tax-free death benefit of your insurance policy.

Term life insurance is often used to protect the income provided by the main breadwinner of a family. So, if you die, you can still provide your family an income similar to what you would have earned if you were still alive to provide for them each month.

Purchasing life insurance for income replacement provides your loved ones with the peace of mind knowing their financial needs will met.