No one wants to think about death, but it’s an unavoidable reality that each of us will face at some point in our lives. In the meantime, it’s crucial to think about how your family will cope if you die prematurely and can no longer work to provide for them, leaving them with few resources or assets with which to live on while they wait out the probate process and figure out what they should do next. This article explores some of the biggest reasons why everyone needs life insurance, including financial security and long-term planning.
Reason #1: Loved Ones Need You
No one knows when their time will come, which is why it’s important to have life insurance in case something happens to you. If you’re the primary breadwinner in your family, your death would leave them in a difficult financial situation. With life insurance, you can ensure that your loved ones are taken care of financially if something happens to you.
Reason #2: Savings Aren’t as Secure as you Think
A lot of people think that they don’t need life insurance because they have savings. But what happens if you die unexpectedly and your family needs to access those savings? They may not be able to do so if you don’t have a life insurance policy in place.
Reason #3: Protection from Illness and Disability
If you should become seriously ill or disabled and are unable to work, life insurance can help ensure that your family is taken care of financially. This is especially important if you are the primary breadwinner in your household. No one knows what the future holds, so it’s important to have a safety net in place just in case something happens.
Reason #4: Burial Costs
For many people, the idea of paying for their own funeral is unthinkable. The thought of leaving their loved ones with the burden of funeral costs is too much to bear. But the reality is, funeral costs are rising every year, and they’re not going to go away. If you don’t have life insurance, your loved ones will be left with the bill.
Reason #5: Child Care Expenses
If you’re a parent, you know that child care expenses can be expensive. In fact, according to the National Association of Child Care Resource & Referral Agencies, the average cost of center-based care for an infant in 2016 was $9,589 per year. If you have life insurance, your policy can help cover these costs in the event of your death.
Reason #6: Final Expenses on Your House
One of the most important aspects of having life insurance is that it can help pay for your final expenses. This includes things like funeral costs, unpaid medical bills, and any outstanding debts you may have. It can be a huge burden on your loved ones if they have to worry about how they are going to come up with the money to cover these expenses. Having life insurance can give you and your family peace of mind knowing that everything will be taken care of financially in the event of your death.
Reason #7: How Will your Legacy be Remembered?
How will your family remember you? Will they think of you as the provider who always put their needs first? Or, will they think of you as the amazing person who was always there for them, no matter what? Your life insurance policy can help ensure that your loved ones are taken care of financially after you’re gone, but it can also be a way to leave behind a legacy.
Reason #8 – Who Will Take Care of Me in my Old Age?
As we get older, our parents or other loved ones may no longer be around to take care of us. This is where life insurance comes in. If you have a life insurance policy, your loved ones will be taken care of financially if something happens to you. With this peace of mind, they can focus on taking care of you instead of worrying about how they are going to pay the bills.
If you are still working and don’t have a life insurance policy yet, consider it! You never know what might happen tomorrow and being able to provide for your family after an accident can be crucial. What if there’s an accident at work and they can’t afford the medical expenses? Life insurance would help them out!
Reason #9 – What If My Spouse Dies Before Me?
No one likes to think about death, especially their own. But if you have a spouse and children, you need to be prepared for the worst. What would happen to your family if you died tomorrow? Would they be able to maintain their current lifestyle? Or would they have to make major changes?
Reason #10 – Income for Yourself After Retirement.
Life insurance is often thought of as something that only benefits your family after you die. But life insurance can actually be a key part of your retirement planning. If you have a life insurance policy with cash value, you can use it to supplement your income in retirement.