Although you can name practically anyone to be the beneficiary of your life insurance policy, it only makes sense to select individuals you want to help financially after you’re gone. Life proceeds can provide financial support to one or more people for years to come. By choosing wisely, you can ensure these funds are put to excellent use. If you’re unsure who to select as a beneficiary, consider the following:

You Can Choose More Than One Beneficiary

You can choose more than one beneficiary to receive proceeds from your life insurance policy. You can divide proceeds evenly between your beneficiaries or designate the percentage you want each beneficiary to receive. Having control over the distribution of life benefits makes it easier for you to help loved ones in Matthews, NC in the way you feel they need it most.

Beneficiaries Can Be Primary or Contingent 

Your primary beneficiary is your first choice for receiving life proceeds upon your demise. This can be one or several people. If all your primary beneficiaries expire before you do, life benefits automatically go to your contingent (or secondary) beneficiary, which may be one or more people as well. Having both primary and contingent beneficiaries ensures funds are distributed the way you want.

Beneficiaries can be Revocable or Irrevocable

A revocable beneficiary can be replaced if you change your mind later on. An irrevocable beneficiary cannot – unless he or she gives consent. If you purchase a life policy when you’re young, it may be to your advantage to designate your beneficiaries as revocable as it gives you a chance to reconsider if your situation changes later down the line.

A life insurance policy from JC Demo Insurance Group can provide financial security for loved ones after you’re gone. For greater insight into life insurance options and costs, contact JC Demo Insurance Group in Matthews, NC.