No. You’re mistaken. If you think life insurance is only for the people who have families, then you are indeed not right. The fact of the matter is that it is beneficial for those who don’t have a family. To all those who connect life insurance with dependents, children and family, it also protects an income stream and provides security in old age if you live long enough. Now you will think, your earnings are enough for yourself and you can survive your whole life on them.
However, I suppose you might be wrong again. Do you know when you will die? Certainly not. None of us knows when we will die. Are you willing to work till your dying breath or the company is interested in retaining you when you can barely move? No. You want or not; you have to retire one day. Life insurance is beneficial for post-retirement life. It will pay for your medical bills, funeral expenses and many others included in the cover.
If you are still not convinced, read the following reasons for why you need Life Insurance
- Life is unpredictable: You think, you are young and healthy now. So you don’t need any insurance to protect you. However the matter of the fact is no matter how old or young you are, you need life insurance to protect you at all stages of life. Let us understand this better with an example: One beautiful day, you leave for your office. On the way to the office, you met with a severe road crash. When taken to the hospital, it was diagnosed that you survived many severe injuries and operating them will need much money. Life insurance is right for this moment as it saves you from burning a hole in your pocket. Life insurance covers provide many other benefits like permanent disability benefit; chronic diseases benefit, long term benefits to name a few.
- Family: You might not be thinking of getting married anytime soon in life. However, what happens when a person crosses your path, and you are head over heels in love with that person. You certainly want to move in together with that person. Life Insurance safeguards the interest of that person in your absence.
- Parents: Our elderly parents will be our responsibility until their last breath. Due to old age, they are prone to many acute and chronic diseases. Life insurance provides a special cover for family expenses and expenses incurred on parents. It will act as a financial cushion if the unfortunate happens and you die before them. Life insurance is to safeguard their interest after you are gone.
- You have Business: You are one of the active partners of your small business. After your unfortunate death, a life insurance policy allows your surviving partners to purchase the portion of your business seamlessly.
- Life is a risk: Life insurance does cover not only the risk of living too short but also the risk of living too long. Yes, living too long is also a risk. The well built up portfolio will take care of the risk arrives with the chances of living too long. Since there are many options out there for this purpose, you can choose any of the plan best suited to the idea of your living. You can also keep in mind factors like future inflation, tax benefits, the expected rate of return on investment, the standard of living to name a few.
Life insurance provides security not only your near and dear ones but also to you. The regular premium can make you live a comfortable life without actually depending on others. It also helps you deal with the uncertainties associated with survival. So next time if you slip on a banana peel and break your neck and leg, remember life insurance will help you get back on your feet.