Life insurance is necessary to protect your family and loved ones in the event of your death. If you have a large amount of debt, you may worry that your family will be left to pay the bills. By filing for bankruptcy, you may be able to save both you and your family from the burden of excess debt. Nobody wants to leave his or her loved ones with bills that will take years to pay off. Bankruptcy can not only help eliminate debts, but may also allow you to maintain your life insurance policy.
Understanding Bankruptcy Exemptions
If your life insurance policy is listed as a secure asset, it may qualify as a bankruptcy exemption. This will provide both you and your family with the peace of mind that they will be taken care of in the event of your death.
Another form of “life insurance” is not even an insurance policy at all. Many retirement accounts are exempt from bankruptcy and therefore may provide your family with financial relief in the event of your unexpected death.
Thinking about the death of a loved one or yourself is a sensitive subject in many respects. However, financial distress may amplify the pain a death can cause, and it is important to plan for these matters well in advance.
Bankruptcy laws are complicated, and there is no reason to face these issues on your own. The Milwaukee bankruptcy attorneys of the DeLadurantey Law Office, LLC can help you find a way to take care of your family in the event of your passing. Contact us today at 414-377-0518 for a free consultation.