Life insurance has the same sort of air to them as wills do. We do not like to think about it, but at the same time we know we are a lot better protected with it than without it. Certainly, no one likes being reminded of their mortality, however, having life insurance helps to protect your family and loved ones should your allotted hour arrive a little earlier than you were anticipating. So while it may be tempting to put off acquiring it until a little later on in life, it is usually the case that the best time to get life insurance is sooner rather than later.
Certainly the older you get, the more likely you are going to start thinking about what might happen to those nearest and dearest to you when you are gone. If you are the primary breadwinner in the household, you may wonder who will continue to provide for everyone. If you have a mortgage, you may worry about whether or not it will be placed in jeopardy. However do not be tempted into thinking that if you are young, single and debt-free that life insurance is not for you. Sometimes it does pay to think ahead.
Signing up to a life insurance policy while you are still young and healthy, for example, will often make it cheaper to attain. Subsequently, it is worth your time to look at an insurance policy as early as your mid-twenties. Since you’re less likely to buy the farm, most insurance brokers are more willing to take you on for cheaper as they’re less likely to have to pay out for you after the contract has been signed. There’ll be better premiums available as well, which if locked in are guaranteed never to increase. Also, it means that you’ve probably not yet acquired any conditions that may prevent you from signing on. So not only do you save money, you have a greater chance of actually securing a policy in the first place compared to others in their forties or fifties.
It is worth shopping around of course to ensure getting the best possible deal, but certainly the best time to get a policy is during your prime years.
There are some who claim otherwise, of course. Some insurance experts believe that acquiring a life insurance too early may leave you with less option with its details later on in life. If you are young, unattached, and without a home, you have no idea if or how those circumstances might change. Factors such as the number of children you have, the sort of mortgage you take out or even if marriage is in the cards are simply unknown to you. As such, it may be found later on that a policy that looked good forty years ago no longer adequately covers the holder’s needs as they now stand.
However worrying about the future often hinders more than it helps. Life insurance is a little safety net that comes in handy when you least expect it, so it is often better to have it while you are able then to be left out due to unpredicted circumstances.
There’s also the matter of how long the life insurance policy should be kept on. Conventional wisdom holds that as soon as any children you may had have grown up and left the home; it is usually best to let the policy expire. Certainly by that point most people have built up enough assets over time that the policy is no longer essential.
If you are uncertain about whether or not such a policy is necessary, you can also ask for advice. Insurance and financial experts both can offer information on the perks and details regarding signing onto a policy, although never feel pressured into a decision that’s not comfortable. Ultimately the final say is yours, and it is up to you whether you wish to protect against unforeseen circumstances.