If you are in your 20’s and you think that you are too young to need life insurance, think again. Young adults should consider buying life insurance. First and foremost, if you die prematurely, will there be enough money for your funeral or memorial service? Unless you have enough money saved, your family and friends will have the burden of paying for your final farewell.
If your parents cosigned for your private student loan or for your car loan, they’re responsible for repaying it in the event of your death. A life insurance policy for the right amount will pay off that debt. Ditto for any credit card bills you leave.
Maybe you have children and a home with a mortgage or an apartment that you and your children live in. The proceeds from a life insurance policy can help pay some of your mortgage obligations or allow your family to stay in its apartment. If you work and contribute to the upkeep of parents or siblings, a life insurance policy would help make up for lost income should you die.
You can choose term life insurance or whole life insurance. The latter builds cash value over time, and you can borrow against it. If you are a young entrepreneur or have business partners, consider buying a separate policy to cover your final business expenses.
Buying life insurance when you are young and in good health means that you can probably find a policy that is affordable. At Luebbering Insurance Agency LLC, where we serve Jefferson City, MO, contact us to discuss life insurance for young adults. The financial stability of those close to you depends on it.