Hello. This is Liran Hirschkorn, at ChooseTerm.com. Today, I am talking to people who are young, who might be single and might be students. You might be asking the question, 'Do I need life insurance? I do not have a family that relies on me for income. I do not have a wife, girlfriend, or children that are relying on me for income. In fact, I am a student, I have student loans, and I have debt. Why would I ever need life insurance? I am going to give you a few reasons why you might want to consider getting a life insurance policy.
If you have debt or student loans, then you may have a parent who co-signed the application for the loan. What does that mean? That means if you cannot pay the loan back, your parents or the person who cosigned the loan for you would have to pay it back. If something were to happen to you and you passed away, then you are going to leave that person with your student loans. Having a life insurance policy to cover your loans would make a lot of sense. You would name that person as beneficiary for that dollar amount that they would have to pay, and now you are removing the burden of them having to come up with a whole bunch of money or to continue making those payments for your student debt.
The next reason is final expenses. If something were to happen to you, your family might have to come up with $5,000, $10,000 or $15,000 for final expenses like all the costs that go with burying somebody. You might want to have a small policy just to cover those final expenses.
Another reason why you might want to have coverage is it is cheap. You are young, it is cheap, and you are thinking about the future. You know that in 5, 10, or 15 years you might want to have a family. You might want to have children and you might have people relying on you for income. By locking in a rate today, you get a good price on a policy and you are able to lock it in for a long period of time.
The other reason is you do not know what the future brings, in terms of your health. While today you are young and healthy, you are never going to be healthier than today. In the future you might put on a few pounds, have high cholesterol, or have high blood pressure. It does not mean you not going to be able to get life insurance, but what it does mean is that life insurance can be significantly more expensive if you have conditions like diabetes or asthma, or anything that you develop could increase the cost of life insurance. Of course, you do not want is to come down with a disease that would prevent you from getting a policy altogether.
You might be young, single, and do not have anyone relying on you for income today, but evaluating whether or not you need life insurance might be a good idea. You may find out in your evaluation that you do not need any life insurance today, but you also may find out that it is worthwhile, and life insurance might just be cheaper than you think. At Choose Term, we work with over 30 different companies. We can compare rates for you and help you find a life insurance company that gives you the best possible rate, a good quality company, and then it would be up to you to decide if that is something you would want to do. I can tell you that most young people are pretty surprised at how inexpensive life insurance can be. It can be as little as $10, $15, or $20 per month, which is not a lot of money to give you some sense of security and peace of mind knowing that you are protected in case something happens.
Author: Liran Hirschkorn