Why don't single people have life insurance? It is a simple question that has stumped the insurance industry for decades now. Many people make the assumption that life insurance is for married couples and those with kids. While it is true that not all single people need a lot of life insurance, there are a number of reasons when it can make good sense.
1. If You’re a Single Parent, Life Insurance Protects Your Child
Life as a single parent or caregiver isn’t easy. There’s bills, work, a child’s activities, all on top of trying to find moments for yourself to unwind and relax. Add ensuring that your family has insurance coverage to make sure that you can visit a doctor, the dentist or eye doctor, and it can all be overwhelming.
Furthermore, a single parent can have the uneasy task of figuring out what to do in the case that something happens to them. Will the children or people you’re caring for be protected? What about student loan debts or a mortgage that would be left behind? It’s a tough question to ask yourself, but it’s a question that shouldn’t be ignored.
So what’s the answer to this difficult question? It could be life insurance. Yes, even if you don’t have a spouse, you should consider owning a life insurance policy.
According to a study by Genworth Financial, 69 percent of single fathers and 59 percent of single mothers do not have a life insurance policy. In reality, that number indicates millions of women and men that aren’t covered compared to married counterparts. All parents know that it’s expensive to raise a child or children, and if a single parent were to pass, how would you ensure that your child’s expenses and needs were being taken care of in their absence? This demonstrates a clear need for single parents to have a life insurance policy.
2. If You Have a Younger Sibling, Life Insurance Secures Their Future
In this case, you may not necessarily be a parent, but maybe you’ve got younger siblings or a sibling with special needs, who are dependent on your care. If your parents are no longer living, having a life insurance policy can help ensure that the loved ones you care for receive the help they need if something were to happen to you.
3. If You Have Expenses, Life Insurance Eases Your Family’s Financial Responsibility
If something were to happen, your debts or other expenses may be left to your family to cover. Maybe it’s a mortgage, student loan debt or funeral costs but without life insurance, those costs will fall on your family members. These costs can be huge financial burdens for some. A life insurance policy can help alleviate this stress by having the costs covered, even during the unexpected.
4. If You Care About a Charity and Want Life Insurance Given as a Charitable Donation
Is there an organization that you care passionately about and you want to continue to give to this cause, even after you pass? Life insurance may be able to help you to leave your legacy. No matter if it’s an animal rescue, church, hospital or theater, a life insurance policy can be given as a charitable donation. If this is the route you’d like to take, make sure to talk with your Farm Bureau agent on how to go about setting up your life insurance policy as a donation.
5. If You Want to Go to College Later in Life, Life Insurance Can Help Fund Tuition
Is life insurance a life saver when it comes to going or returning to college or even sending a child to school? It can be just that. When taking money out of a life insurance policy, it’s taken out as a loan. However, taking a loan against a life insurance policy will not have an effect on any other financial aid opportunities, other than potentially reducing a death benefit. Furthermore, if you take out a life insurance policy in its entirety, this will count as income and can reduce aid packages.
To know if this is the right way to fund an education for you or a child, it would be best to meet with your Farm Bureau agent to discuss all options available to you.
No Matter the Situation, Be Prepared With Farm Bureau
If you’re young, healthy, and have a good family health history, your insurability might be at its peak. Whether you’re a single parent or hoping to return to college, life insurance can play many roles in an individual’s life. How can a life insurance policy benefit you? Don’t wait any longer and find out by talking to your local Farm Bureau agent today!