Many people don’t consider buying life insurance early in their lives as they believe it’s for older people. But the best time to get life insurance is in your 20s and 30s. The longer you wait, the more expensive it eventually gets. The reasons you should have life insurance change with age. Getting married, starting a family, aging parents, and a lot more can change your reasons and needs for getting life insurance.
Here are a Few Reasons You Should Have Life Insurance
Getting Married
If you have just gotten engaged or married, you have certain responsibilities on your hand with respect to your family and assets. Life insurance makes life a lot easier when you both are covered in case one of you dies. It enables you to support your spouse even after you pass on.
You can even get joint life insurance policies that can be cheaper than buying two separate policies for each other. A joint policy means it only pays once. If someone dies, the surviving partner will have to purchase a new policy after. A joint policy can also lead to complications if there are problems in the relationship or the relationship comes to an end.
Starting a Family and Having Children
Life insurance is especially important to get right when you start planning to start a family and have kids. Life insurance can act as a great financial safety net for them. What if you pass away, and you have a spouse and kids who rely on your income to live? What will they do without your life insurance?
A life insurance policy makes it so that if you die, your family and kids will receive a lump sum amount. This money is for them to use to get back on their feet and continue living their lifestyle.. It is a protection that you and your loved ones can count on when and if needed!
Paying Off Debt
It doesn’t mean your debts and loans just disappear when you die. If your spouse or someone in your family has co-signed on a loan, they might become entirely responsible for repaying the debts! It could also mean that your creditors could take money out of your estate to collect your debts after you die, which means your family or heirs will not get the whole amount that they should.
Life insurance would mean you can leave behind a good amount of money to help your family pay back any debts you may leave behind. You don’t want your family, who would already be in a very precarious financial situation after your death, to worry about extra debts they need to repay.
Cover Burial Expenses
The expenses of funerals keep rising. In 2021, the average cost of a funeral was almost $8,000! Life insurance will help your family remain secure in knowing that your death will not be another financial burden on them.
There are specific life insurance policies concerned with burial costs, like final expense insurance. These policies can be cheaper than complete life insurance policies. If you think your family cannot afford a funeral and burial, having life insurance can help cover these costs.
