When is term (or temporary life insurance) the best choice?
Only when you don’t have enough money to pay for a good whole life/permanent insurance policy or you have no desire to use life insurance as part of an overall financial plan and/or wealth strategy.
Why you should buy life insurance when you’re in your 20’s
In our opinion, everyone should buy life insurance (preferably permanent/whole life insurance) when they are YOUNG and HEALTHY. The sooner you get it, the less likely you are to pay high premiums. The longer you wait to get any kind of insurance, the more expensive it will be. Why? Because you’re getting older and age = declining health; and 2) you could have some terrible accident that renders you UNINSURABLE. Most people don’t ever both to stop and think that unlike medical insurance, life insurance is NOT an entitlement. No company has to give you life insurance. It’s a privilege, not a right. So if you think you’ll ever need life insurance, get a good, affordable whole life policy when you’re in your 20’s and then build on it later when you can. Or, alternatively, you can get a term policy that is convertible to a whole life policy later — when you can afford it.
Everyone seems to forget about life insurance until it’s WAY too late. Like after you’ve been diagnosed with cancer – you’ll never get any kind of life insurance. Even something like twisting your ankle and getting a blood clot can render you totally uninsurable. The longer you wait, the older you get, the more likely it is that there are some medical records that contain information that a life insurance underwriter is not going to be happy about — like recurring prescriptions (which indicate some health problem) or increasing weight…..
Get life insurance before you start trying for a baby!
And ladies — if you’re thinking about getting pregnant, think about getting life insurance FIRST. Things that occur in pregnancy – like gestational diabetes – are usually an early indicator of health problems that will develop later on in life. These are things life insurance underwriters don’t like to see. And all of your medical records are made available to life insurance inderwriters — you can’t avoid this.
Then there are options a policy owner can opt for, usually at additional cost. And while term insurance is usually valued for its death benefit, there are several living benefits that can make it important and valuable to any adult, even if they don’t have financial obligations to protect. Read more about term insurance in the next article below
Special policy options offering additional benefits
Then there are options a policy owner can opt for, usually at additional cost. And while term insurance is usually valued for its death benefit, there are several living benefits that can make it important and valuable to any adult, even if they don’t have financial obligations to protect. Read more about term insurance in the next article below.