It always comes a time when we start to wonder if having a life insurance would be the right decision to make, or if our current insurance plan is still the best for us. Whenever we decide to look for a life insurance coverage, several myths and misconceptions arise, and if we are looking for the best choice, it is important to consider some preconceived ideas we might have about life insurance, and that may turn out to be not completely true.
The most common assumptions we have seen so far have to do with age and income, with younger generations thinking they don’t really need life insurance, and the elders being worried about not being eligible for insurance coverage anymore, besides people in general thinking that reasonable life insurance plans are way beyond their budget.
The truth is, there are plenty of options available out there, regardless of age, income, employment situation, and what not, and plans can be designed to meet the specific needs of anyone who decides on purchasing life insurance.
I Don’t Need Insurance. I’m Young, Single, and Healthy!
It is quite common to see young people planning ahead, but only up to a point. More often than not, life insurance coverage is not at a near future, and trying to find a dream job, starting new businesses, and traveling abroad seem to be top priorities for them.
However, getting a life insurance plan at an early age, when we are still young and healthy turns out to be a better idea than looking for coverage later in life, when our health might not be the same as it was 10 or even 20 years ago. This is because several studies show that, on average, people over 60 years old tend to have monthly premiums up to three times higher than those of people on their twenties, as elders are supposed to recur to health care more often than young people.
I won’t Qualify for Life Insurance Because of My Age
Even when monthly premiums tend to be higher as we grow old, it doesn’t mean that we are no longer eligible for life insurance, and since our lifestyles and habits are different than those of our youth, arrangements are still available, and finding an affordable plan that covers your needs is still possible.
It is important to consider, though, that it might be harder to become eligible for life insurance if we have a terminal illness or any other condition that represents a high chance of us passing as a result. The best is to try and stay as healthy as possible so by the time we reach a certain age, we don’t have to be subject to higher premiums. You know what they say, an apple a day…
I Really Can’t Afford Life Insurance
Another of the main concerns people have regarding life insurance is that monthly premiums will end up taking most of their income, seeing this as a luxury some might not be able to afford, specially at a young age. Like we mentioned before, the best time to start thinking about life insurance is at an early stage in life, as premiums tend to increase as we get older.
When 80% of people overestimate the price of life insurance, looking at the actual numbers will work as an eye opener, as it is reported that an average 20-year-term insurance plan of $250,000 can generate premiums as low as $20 a month, give or take. The key is to shop around and if possible, get professional advice from an insurance agent. They are qualified professionals after all, and will help you choose a plan particularly designed for your needs without disregarding your available budget.
