Whenever you read about life insurance, the focus is almost always on making sure that you have something to leave behind for your spouse and children when you pass away. We’re culpable in promoting that trend, but only because that’s one of the main reasons why people purchase a life insurance policy.
At Insurance Specialists, Inc., we acknowledge that there’s a significant blind spot when it comes to talking about life insurance. If the focus is all about providing financial relief for someone’s spouse and kids, does that mean people who are single and childless don’t need it? Not necessarily so, yet so many who don’t have a spouse or kids go without it.
Below, we’ll address a few reasons why someone should consider purchasing life insurance even if they aren’t married or have children.
1. You Have Cosigned Debts
A significant reason for considering a life insurance policy is if you have a cosigner to a debt you owe. Whether it’s private student loans, an auto loan, or even a mortgage, any debts with a cosigner will become the sole responsibility of that cosigner should pass away.
Your cosigner could be a grandparent, parent, sibling, or another friend or relative. By naming them as the beneficiary of your life insurance policy, you can ensure that they won’t be unburdened by overwhelming debt if something should happen to you.
2. You Have Other Dependents
You don’t have children, but you might have other dependents in your life. In most cases, dependents who aren’t minor children are often other relatives with special needs. Whether it’s an aging parent or a sibling with a mental disability, having a life insurance policy ensures that these loved ones can continue to afford the care they need if you suddenly pass away.
3. You Live with a Partner or Roommate
If you live with a partner or friend as your roommate, you probably split the rent and bills. These expenses are significant and can put your partner or roommate in a difficult financial position if you’re not around to contribute your share.
By naming the person you live with as a beneficiary to a small life insurance policy, you can ensure that they won’t have to financially struggle until they can find a new roommate or move out.
4. You Could Have End-of-Life & Funeral Expenses
Your debt will die with you, but that won’t help relatives who stepped in to pay for your end-of-life medical care or funeral expenses. To afford these costs, people may dip into their retirement savings, rainy day funds, or even their children’s college funds for money.
By having a life insurance policy, you can rest assured that any financial hardship your relatives elect to take on can be relieved with a payout to compensate them.
5. You Think Your Situation Could Change
People change over time, and sometimes what they want out of life changes with them. Although you are single right now, you could meet someone later in life who you wish to marry. You might also decide to have children later on, or even have a child unintentionally. In all of these scenarios, having a life insurance policy now can ensure that if your life significantly changes in the future, you’ll be prepared.