Most of us don’t consider life insurance when we are young. However, buying life insurance at an early age will cost you much less than getting one after turning older. Also, it is not a bad idea to secure life insurance at a young age, especially if you are the only earning member with 3-4 dependents or if you are an at-home caregiver and your survivors need financial stability to live life after you pass away.
At a young age, you will probably be healthy and fit enough to easily qualify for the life insurance policy. If you have no existing health issues, you will get life insurance with lower premiums. Also, with term life insurance, the premiums will be fixed, so you can save considerably on your premiums over time.
It typically comes with a shorter duration, say five to thirty years. For example, if you buy a 10-year term life insurance policy, you will be covered for the ten years, provided you pay premiums every month. After ten years, you can either terminate or renew the policy, depending on your needs.
However, you may be asked to pay higher premiums upon renewal. Sometimes, you may be denied coverage if you have health issues at that time. If you want to save on term life insurance, buy it earlier and choose the maximum term (30 years).
It provides you with lifetime protection and comes with a death benefit and accumulated cash value. It could be a better option if you are planning to retire or want to leave your money to your heirs. However, a whole life policy is more expensive than a term life policy because of providing lifetime coverage with added benefits.
If you want to get life insurance without undergoing a medical checkup, you must consider buying a no-medical-exam life insurance policy. If you are young and have no health issues, you can consider this policy. It does not require a doctor's appointment and can be approved almost instantly. However, if you have some health issues, you may be asked to pay higher premiums. Also, the maximum coverage limit of a no-medical-exam life insurance policy is one million dollars. If you want to buy coverage for more than $1 million, you must undergo a qualifying medical exam.
It depends on your financial responsibilities, number of dependents, etc. However, it is generally recommended to buy life insurance coverage at least 5 times your annual income to have you and your family sufficiently covered.
As life insurance covers funeral expenses, outstanding debts, and childcare/eldercare costs, getting one at a younger age will provide you and your family with peace of mind and much-needed financial stability.
You never know what life has in store for you, but we will help you be prepared for the future with our best-in-class life insurance policy. Contact us today at C.V. Mason Insurance Agency to get started on your customized life insurance coverage.
