Can your life insurance premium be tax-deductible? The answer is: yes and no. Yes, the premiums may be tax-deductible if you are an employer and pay for all or part of the cost of your employees' coverage. But generally, the answer is no; Unlike some types of medical insurance, an individual's life insurance premiums are not tax-deductible.
On the plus side, however, you also generally do not have to pay sales tax on insurance policies you purchase. And some forms of coverage-for example, term life insurance-are among the most affordable ways to protect your family's financial future. A term policy can replace your income if you die. That's the income your family needs to pay the mortgage on your home, pay for your family cars, day-to-day living expenses, your children's college education fund … even your medical, funeral, and burial expenses that become your family's responsibility after your death.
Also on the plus side, term life insurance can be remarkably easy to get. In most cases, you do not even need a medical examination. Insurance with no medical exam! That saves you the time, money, and hassle of making a doctor's appointment, getting lab tests, waiting for results, and on and on. Instead, you can compare rates online, purchase your policy, pay for it, even download and print a copy for your records … all in a matter of minutes. Usually, an insurance agent is available to help you over the telephone, if needed. But you will be amazed at just how simple it is to do it yourself right on the web! And this is quality coverage. No gimmicks. No hidden fees. No worries.
And, best of all, no high costs. The fact is, you may find that the coverage you need costs less than a cup of coffee per day. Think of it … for as low as a dollar or two per day, you get peace of mind that is priceless. It's the peace of mind that comes only from the knowledge that you have taken the right steps to protect your loved ones. That's better for your health than a cup of coffee! (And do not forget that you pay tax on every coffee too.)