It’s a reasonable assumption that if you’re single and have no dependents, you don’t necessarily need life insurance. However, as we’ll show you, even single people with no children or other dependants to support can benefit from having suitable life insurance in place.
Life insurance isn’t something that should be seen as a financial “jackpot” for your loved ones should the worst happen. It is designed to help those who depend on you should you no longer be around to support them yourself.
Furthermore, life insurance comes in two main forms: term and whole. The former provides cover for a specified period that is agreed at the outset. For example, a 20-year policy may provide sufficient cover for young children until they reach such an age that they are totally self-sufficient. Whole of life insurance will pay out no matter what age you die as long as you keep the premiums paid up to date.
Why do I need life insurance?
You may be wondering “if I’m single and have no direct dependents, why do I need life insurance?” Well, just because you haven’t got children yourself this doesn’t mean you don’t have people you care for and would want to support after your death. For example, you may be helping with your sibling’s children’s educational expenses so life insurance would ensure money is still available to them if you weren’t around.
You may want to help support your parents in their later years, so suitable life insurance could ensure that this happens if you weren’t around. This is especially true if your parents have helped you secure financing in the past, like co-signing loans. Perhaps your parents helped you buy your house by coming up with a mortgage deposit. Suitable life insurance can pay off your mortgage in the event of your death and ensure that nobody you leave behind is left carrying any personal or business financial liability.
Lastly, there are the costs associated with death itself. Your family and loved ones will inevitably be the people who have to make the necessary arrangements and fund your funeral expenses which can be very costly. Here a Whole of life policy would be handy.
Take advantage of today’s low interest environment
Life insurance policies are nearly always cheaper when you’re still young and healthy. Coupled with today’s low interest rate environment it is the perfect time for dependent-free singles to take advantage of and lock-in to more affordable life insurance deals.
Securing suitable life insurance now will also ensure that you already have cover should you get married or have children. (This might only need to be amended to reflect your change of circumstances at the appropriate time).
Insurance itself isn’t a particularly exciting topic, but it’s one that sometimes just needs to be discussed, regardless of your situation, as none of us really know just what’s just around the corner.
Les Schroeter, Head of Protection at Premier Choice Group says: “Buy it now while the price is cheap, your actions now will determine whether you leave pleasant memories for years to come or financial misery and hardship for those you love and care for”.
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Want to know more? Call free on 0800 970 1618 or click on the link below to enquire online. Speak to a member of our team to see how we can tailor a package to suit your specific needs and receive a FREE no obligation quote.