Many millennials tend to reject the idea of getting a life insurance early. Why? Because they think they are too young to avail one. But here are some reasons why it’s smart to have yourself insured at a young age.
1. Insurance is cheaper NOW and more likely to get APPROVED
Life insurance premiums are based on several factors including your age and overall health condition – that means the younger (and healthier) you are, the less you pay for your insurance and it’s more likely to get approved. Also, the decision not to buy life insurance as early as possible can be a very expensive mistake looking forward.
2. Funerals are expensive
Death is an uncomfortable topic to talk about in our country, but we have to face the fact that it is inevitable. It is a question of “when” and not of “if.” And the final costs of an untimely death can mean added financial burden to the family if there is no insurance to cover these expenses. Aside from the emotional pain, you now have to deal with financial pain, as well.
3. Debt is not always forgiven
If something were to happen to you, and you have existing debts, these may fall on the shoulders of your family and become an additional burden to them. Know your ideal insurance coverage by considering any outstanding debts or loans you have.
4. Some insurance are investment-linked (VUL)
A Variable Universal Life or VUL is an investment-linked insurance product. It offers protection while accumulating fund value (investment) over time, hitting two birds with one stone. If you get this type of insurance, not only did you protect yourself early, you are also growing your money early on.
5. Insurance from your employer may not be enough
Some would say that they won’t buy insurance because they are covered by their employer. Take note that coverage from your employer’s insurance may not be sufficient to compensate for the financial loss, and may not be as comprehensive as a personal insurance. Also, the insurance from the employer will cease to exist when you leave them, as oppose to having your own personal insurance.
Having stated all these reasons, do you think it’s smart to get insured NOW?