As a young 20-something, life insurance is something that likely hasn’t crossed your mind. Life insurance can be a safety net for your loved ones in the event that you pass away unexpectedly. It can help pay for funeral expenses, outstanding debt and assist any surviving family members. If you are under thirty, here are three reasons you should consider purchasing a life insurance plan.
1. Marriage
If you are like 68% of Americans, you will likely be married by the time you reach 30. Many married couples choose to pool their money together to pay for mortgages, car payments and credit card loans. Consider what would happen if you suddenly passed away and that income was no longer there. Would you widowed spouse lose your home? Can they afford to pay the bills on their income alone? If they answer is no, you may want to consider purchasing a life insurance policy.
2. Children
According to Census data, over 50% of women have children by the time they are 30 years old. Parents with young children especially should consider purchasing life insurance because they have a child who is dependent on their income to provide for them. If you set up a life insurance plan, make sure you name a trustworthy beneficiary to manage the life insurance benefit. If that is not an option, consider hiring an attorney to set up a trust fund with specific instructions on how the fund should be distributed.
3. Cheaper Rates
Life insurance only gets more expensive as you age. Insurance adjusters determine pricing for policies based on risk assessment. Meaning, the younger and healthier you are, the cheaper your policy will be. As you age past 30, the odd of your developing high blood pressure, high cholesterol or other ailments increases significantly.
At Insurance Specialists, Inc., we offer life insurance policies through Voya Life Insurance and Met Life Insurance. Contact us today to get a quote!