You may think that you only need life insurance if you have children. You should think again. On the surface, life insurance may seem like an unnecessary expense. However there are many considerations that support the need for life insurance, even if you don’t have a family to support at this time.
There are almost as many reasons to buy life insurance, as there are people. Everyone has different responsibilities. Meeting those responsibilities usually requires money. Life insurance, a contractual agreement between you and a life insurance company, can guarantee that the money is there at the time you need it.
Some of the reasons you might benefit from having Life insurance
- Mortgage protection: If you have mortgage and live with a spouse or significant other, you may want to consider buying life insurance as form of mortgage protection. Your mortgage company probably offered or will offer you a life insurance product. However that is generally not a good idea, since they will make themselves the beneficiary while you will be the one paying the monthly premium. Think about it − you certainly don’t want the person that you live with to lose the house in the unfortunate circumstance that you die unexpectedly, do you?
- Income replacement: Life insurance can be used to replace the lost income to enable the survivor to maintain the same standard of living. You may have planned your future family budget based on two incomes − but what if one of you passes away unexpectedly?
- Final expenses: Life insurance can be used to plan for your final expenses. Permanent life insurance is available in a variety of amounts, so you can pick a death benefit that meets your particular needs. Medical bills, funeral expenses and burial costs can add up to a substantial amount. Do you want your loved ones to have to bear this burden?
