Group life insurance
Protect what means the most to you It’s a fact of life. We don’t always know what the future will bring. So have you planned ahead to ensure the security of the people you love?
Life has its twists and turns, and the only thing you can really expect is the unexpected. That’s why being prepared for the future – protecting your dreams and the dreams of your loved ones – should be priority #1. While it’s not easy to think about what would happen to your family if you passed away, it doesn’t have to be complicated. What plans have you made to protect your loved ones if something were to happen to you?
Here’s how life insurance works Life insurance helps you put the people in your life first. If something were to happen to you, your life insurance proceeds would go to the people you’ve designated as your beneficiaries. Those funds can help them manage financial obligations, such as: • Funeral expenses
• Daily living expenses
• Childcare
• Paying off debts
• Mortgage/rent
• College funding
Let’s look at an example Marc worked full-time to support his family, while his wife Mia stayed home with their three young children. For them, childcare costs outweighed the income Mia would bring home, so they’d decided to rely on Marc’s paycheck for all their expenses. But Marc and Mia were planners, and they’d prepared for the unexpected by purchasing life insurance. So when a sudden heart attack took Marc’s life, Mia knew her financial future – and that of her three kids – would be taken care of. She could mourn Marc’s loss and reassure their children, all while knowing their world wouldn’t be disrupted more than they’d already experienced.
How much coverage do you need? To determine the amount of coverage you need, it’s important to consider your expenses and resources to identify gaps in your overall protection. Use this table to calculate how much life insurance you may need, or log on to principal.com to use our online life insurance calculator.
A. Final expenses
$ ___________
Funeral, burial, etc. Subtotal A
B. Long-term expenses (total annual amount)
Mortgage/rent
$ ___________
Car loan(s)
$ ___________ $ ___________ $ ___________ $ ___________ $ ___________ $ ___________
Student loan(s) Credit cards/other loans and debts Childcare College funding Other long-term expenses Subtotal B
C. Living expenses (total annual amount)
$ ___________ $ ___________ $ ___________ $ ___________ $ ___________
Taxes Internet/utilities/cable Food/household supplies Other expenses (clothes, entertainment)
$ ___________
Subtotal C
$ ___________
Number of years you want to cover these expenses x
[years] _______
Total financial commitment =
$ ___________
Subtract current financial resources (life insurance, bank accounts, investments)
$ ___________
Total life insurance need =
$ ___________
Enrolling in life insurance through your employer can help you protect the people you love from the unexpected. No one knows what the future holds, but life insurance can help ensure your family has the financial resources to handle expenses and is prepared financially for life’s milestones.
principal.com Group life insurance from Principal® is issued by Principal Life Insurance Company, 711 High Street, Des Moines, IA 50392. This is an overview of the benefits group term life insurance provides, but there are limitations and exclusions. For additional details, contact your employer. Principal, Principal and symbol design and Principal Financial Group are trademarks and service marks of Principal Financial Services, Inc., a member of the Principal Financial Group. GP50947-17 (Spanish SP945-05) | 08/2018 | © 2018 Principal Financial Services, Inc.