It’s not unusual for the younger generation to think of life insurance as something one gets in the later years of life. After all, the health issues that get people thinking about picking up a policy don’t start happening until further in life. But the truth is there’s no time like the present for young people to get a life insurance policy. They give themselves an advantage they lose as they age in the form of cost and coverage. Getting a policy when young means that the cost of the premium is much less, and the benefit can take care of debts like student loans in the event of an untimely death.
Life insurance, whether it’s term or whole life, provides financial support to survivors. People who are in their 20s are less likely to be married with a family, but it’s not unheard of. And if those people have student loans that their parent co-signed for, the life insurance benefit can retire the debt, so their parents aren’t unduly burdened with the payments. Any remaining balance can be directed toward a spouse or young children, so they have a financial advantage that they would otherwise lose out on with the early demise of a parent. The ability to provide financial security far outweighs the perception of life insurance being for older people.
Take the quiz below to find out what you know, and don’t know, about getting a life insurance policy at a young age. What you learn might surprise you!