The purpose of life insurance is to provide a secure financial protection to your dependents or families in the event of your death. For some people who think it’s not necessary, check if your reason falls under these categories.
- “I’m not planning to die tomorrow”. Of course, nobody plans to die tomorrow at all. The fact is that you never know what will happen tomorrow exactly. That’s the reason why life insurance is designed to provide your family financial security in case of unfortunate situation.
- “I’m too young to buy life insurance”. If you are under age 21, you are probably too young and mostly have no debt or financial obligations. Gradually, you will need loans for college fee, car, credit card debt. Who will take care of those debts if you are gone? Would you leave such a financial burden on your parents or grandparents? Moreover, your premium rate will be much lower if you are young and healthy.
- “I’m not old or even sick at all, why should I buy insurance?” Indeed, old or sickness should not be the reason why you start looking for life insurance. At that time, it may be difficult to apply and you will have to pay high premium rates as well. If you don’t want lifetime commitment, you can look for Term life insurance which will cover for your temporary financial protection needs.
- “My spouse is the main income in the family, I don’t need life insurance”. Since your spouse earns more money, it doesn’t mean your spouse will not suffer or in trouble with finance if you happen to pass away. Life insurance has the option for first to die, so both of you can own one policy with a better premium than two separated policy.
- “They give me headache when I have to go through so many documents for life insurance”. It’s true that permanent life insurance policy is complicated, but term life insurance is completely on opposite side. It’s very straightforward and simple.
- “My family can afford for my funeral expense”. It’s not just about your funeral fee. Let’s think about the future of your children. With life insurance, your spouse can afford for day care, college tuition and other expenses for your children.