When you have to choose between life insurance and your life

This is a sponsored post with Mason Finance.

Having a life insurance especially if you have dependents is important. It will help your loved ones financially when you die with the help of the money from the insurance. The money can be used to pay for their mortgage, children’s education, household bills, and other expenses.

There are a variety of life insurance these days, there are ones that has an investment component as well. Aside from that, there are life insurance rides that policyholders can add so that they can fit their life insurance according to their needs. Some examples are accidental death benefits and disability rider.

The best time to get a life insurance is when you are young. The younger you are, the cheaper the premiums. If you started out in your 20s, then your policy will be fully paid in your 30s. Your life will be insured and your loved ones finances will be assured.

But what if you got terminally ill or chronically ill? You already used up your savings to pay for your medicines, therapy sessions, and other treatments. The only money left is your life insurance, but your loved ones can only claim it when you die. And you wanted to live longer hence you need to undergo treatments and take maintenance medicines.

Have you heard of viatical settlement? I found out that you can sell your existing life insurance policy if you are terminally or chronically ill to a viatical settlement broker for more than its cash surrender value but less than its face value, or death benefit.

By having a viatical settlement, you can get a lump sum payment that you can use for your medical expenses. You can live and enjoy your life longer. One of the cons is that your beneficiaries will not get anything when you die because you already transferred ownership of your policy to a third party.