COVID has certainly impacted life insurance claims but not necessarily shown us more Americans taking on life insurance. Why is that? The benefits of life insurance aren't always clear for those who may not understand what life insurance covers and provides to beneficiaries:

Covers funeral costs: The National Funeral Directors Association estimates a median funeral and burial cost in 2019 ranged between $7K and $9K.
Averts debt burdens on loved ones: Parents may have cosigned on loans. Life insurance can help avoid loans going to your cosigner and leaving family members (young or old) with debt burdens.
Protects mortgages and housing: Insurance can help your family cover housing costs without needing to downsize. A policy protects your loved ones from making rash decisions under duress during a difficult time.
Other family expenses: Childcare and college are always a priority for parents. Life insurance can cover these expenses.
Tax-free payouts to beneficiaries: One of the significant advantages to buying and receiving life insurance is that the payout made to beneficiaries is not subject to federal income tax. However, there are certain situations where life insurance proceeds may be subject to federal taxes.

Common misconceptions about life insurance

There are a number of misconceptions and beliefs that hold people back from making the investment in Life Insurance:

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Life insurance misconceptions: Any age or stage

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