Some people do not like to talk or hear about the topic “life insurance” as they feel uncomfortable and somewhat daunting when they think about it. The major reason for life insurance is so as to protect your family or provide an inheritance in the case that you or a loved one is no longer here which most people do not like thinking about. You should take the issue of life insurance important and you should not discard it because of fear, anxiety or apathy. The hope and desire is that you won’t need to use it, however in the unfortunate circumstance that your loved ones end up needing it, life insurance could help prevent an emotionally challenging time from becoming a dire financial situation as well.
Because life insurance is an added expense, it is important to consider when you should purchase a life insurance policy to avoid excess cost but also maintain proper coverage. As far as age, there is really no set number that you should or should not carry life insurance- it is more-so dictated by life circumstance. However, be aware that the younger and healthier you are, the cheaper and easier life insurance will be to obtain.
What an average person considers life insurance to be are events such as marriage, birth of a child or changes in family dynamics and make-up that have the ability to trigger decisions to move forward with a policy. Below are some of the major life cycles that one would want to consider getting a life insurance for.
It is not really important to get life insurance when you are single and do not have dependents as personal situations determines whether life insurance policy is needed or not. In the event of your passing, if there is no one depending on your income for any reason, it may not be necessary to purchase a policy. However, when you get married- especially if you have shared bills, debts, expenses where you contribute toward the bills and life would be harder without your income- it is time to consider life insurance. It would be a wise consideration if your spouse does not work or make less than necessary to continue living at the standard they are accustomed to.
When You Grow Your Family
As soon as you have someone depending on you for means of livelihood regardless if biological, step or adopted children, get a life insurance policy as soon as possible. The life insurance will be able to carry yourself and possibly your spouse depending on the income or work they provide for your family. You will likely want to carry insurance for dependents until they are at least 18 or are no longer dependent on you. If you have a child with special needs that will be dependent on you longer, you may want to factor that into your life insurance and legacy plan (as well as a specialized trust for their care which you can speak with a professional regarding.)
If you have student loans with cosigners and your loan stipulates that they are responsible for your debt in the event of your passing. This would apply to any debts that function this way. Before purchasing life insurance for this reason alone, check in to the legality and details of such stipulations on your debts. If you have co-signers on a loan and they are responsible for your debt after your passing, this could levy a huge burden on their lives in addition to the grief they are already experiencing.
As much as it is sad to think about life insurance, it is also important to get one as soon as possible. This means you have a plan in place in case of any mishap. This can be one of the most loving actions you can take for your family.