Life insurance provides a death benefit to help support a person's family financially after their death. It can replace income and pay for funeral costs, living expenses, education costs, and other needs. Life insurance proceeds are generally not taxed by the government. Anyone who has people depending on them financially in some way may need life insurance, whether single, married, a homemaker, business owner, or retired. Taking time to consider what would happen financially to loved ones if someone died can help determine how much life insurance is needed. While the emotional loss cannot be replaced, life insurance aims to prevent additional financial hardship for surviving family members.
