8 Reasons Why Everyone Should Have a Life Insurance Policy

We all like to think we will be around to care for families for a long time. However, things do not always work out as we plan. What would happen to your loved ones? Here are eight reasons why everyone should have a life insurance policy.

1- For Your Children

Parents want what’s best for their children. It is often hard to take care of their daily need and put money away for the future. Life insurance can help with everything from daycare to college if something happens to a parent.

Do not think that a stay-at-home parent does not need a life insurance policy. You have a great value. The surviving parent may need to pay for daycare, cleaning, and food prep services.

2- Taking Care of Debt

Almost everyone has a debt they need to pay. Everything from credit cards and student loans to the mortgage, someone will still need to pay them. Life insurance is a way to guarantee that our loved ones have a safety net to rely on.

3- End of Life Expenses

Funerals and burials are expensive and can put a burden on loved ones. Life insurance can help with many end-of-life costs, including travel, lawyers, flowers, taxes, burials, cremation, and other expenses. Getting proper coverage will help make the situation less stressful and allow family members to get closure.

4- Business Protection

What happens to the family business after the owner passes away? Life insurance can act as a layer of protection and enable the company to keep running. The insurance can help to pay off loans, salaries, and bills while keeping the company afloat.

5- Your Legacy

Life insurance is one way to leave your legacy to your loved ones. However, do you have a favorite charity such as a food kitchen, animal school, or a favorite school? Adding them as a beneficiary will allow you to continue your favorite cause.

6- A Buffer for Retirement Expenses

Most people believe life insurance is only for when someone dies. However, that is not always the case. Several life insurance policies offer holders to accrue a cash value. The holder can use their policy’s cash value to supplement their retirement or for unexpected medical care.

7- Saves Money

The last thing a younger person wants to think about is their death or the death of a spouse. Purchasing life insurance at a young age and still healthy can save money in the long run.

Life insurance policies are usually more expensive for older people who are not healthy. People who have not married or started a family should buy their life insurance now. Consider it a step in building your financial foundation.

8- One Less Worry

There is no doubt you are planning to die soon. But in the event of an accident or sudden death, you are putting the people that you care about in financial jeopardy. Knowing your spouse, children, and other loved ones will have the means to pay the mortgage, college tuition, and other bills should provide peace of mind that you have provided some security for those who depend on you.



Alex is the co-author of 100 Greatest Plays, 100 Greatest Cricketers, 100 Greatest Films and 100 Greatest Moments. He has written for a wide variety of publications including The Observer, The Sunday Times, The Daily Mail, The Guardian and The Telegraph.

Related Articles

Back to top button