Chapter 5 ( wills life insurance and responsibility)

roy tells them how they will be talking about wills and insurance in this lesson. the wills purpose is to make sure that your capital is distributed according to your wishes. An up to date will is a very important thing to have. he says even if you are single you should still have a will. he says not to make a will yourself. you need to seek the advice of a professional in drawing up a will. it can give information about all the estate and also some cases weather or not you would want to be kept alive. choosing an executer of a will is a big choice, and you should make sure you are choosing the right person. make sure to keep a will up to date, and always give a copy to your executor. and make sure to have a list of all your assets with the will. the price for a will is around 2-$300 dollars. the next topic is on to insurance insurance is a very important factor in financial security. many people are very poorly informed when it comes to insurance. if one does not have any dependents than they do not need any life insurance. life insurance must provide money to pay of debts and help with future lump sums such as a funeral and college. inflation must be taken into account with insurance. knowledge is an important part of insurance. term insurance is for a stipulated length of time 5,10, or 20 year terms. it is the most basic and least expensive form. cash value insurance is a combination of term insurance and forced savings plan. roy suggests buying term and investing the difference. it is a much better buy to get term life insurance than cash value. eventually a person can become self insured and not need insurance. roy suggests getting a competitive rate, but it might not always be the lowest rate.