Your priorities change with every new phase of your life. What used to matter to you when you were still an adolescent may no longer be important once you become a spouse, a parent, or even a grandparent. As your needs change, your life insurance requirements also change.
This is the reason why your current stage of life and not only your age usually indicates your personal needs for life insurance.
So, when should you really buy life insurance?
Below are several life stages that could generate the need for you to purchase life insurance:
When You Decide to Buy a Home
Your house is where you create the most precious moments and memories. Once you pass away, you want to make sure that your family and loved ones will be able to stay in the house you built and shared together. Life insurance can come in handy at this point.
A life insurance policy has a benefit amount that can be used to pay off the mortgage so that your family members can keep the house without getting into debt.
When You Get Engaged or When You are Already Married
Once you get married, it means you have to learn how to share almost everything from mundane tasks to the most complicated responsibilities. It also means you will have to share the financial responsibilities of managing a household.
As most households depend on dual incomes just to survive, it has become more critical than ever to make sure that the husband and wife both have life insurance policies. This coverage will help replace any lost income in case something happens to any of the two parties.
Life insurance is also something that stay-at-home parents should consider. They offer invaluable services like household management and childcare. In the absence of a stay-at-home parent, life insurance will cover the price of outside help when needed.
When Having Children
One of the most rewarding experiences you can ever have in your life is raising your own child but at the same time, this is also among the most expensive. If ever something happens to you, a life insurance policy will help cover daily expenses associated with raising a child, including food, clothing, diapers, and long-term expenses like college education.
When You Enter Your Retirement Years
Your golden years are the perfect time for you to enjoy all those activities and hobbies you like and love the most like fishing, traveling, or spending time with the grandkids. Your to-do list shouldn’t include worrying about how your spouse is going to cover your bills once you pass away.
As the average life expectancy reaches 78.8 years, it is a must to consider that your other half may outlive you and require financial support when you are no longer with them.
Life insurance definitely helps to cover any lost income from your pension. This also helps offset costs like medical bills or final expenses for your loved ones to maintain the life quality you worked hard for years to build together.