Do I Need Life Insurance If I'm Singles

May 19, 2020

You're already familiar with the notion that life insurance is a means to cover the families in the event of an untimely death of a provider. When you have a wife or children who depend on your money, for example, a life insurance policy will cover them financially when the worst-case situation occurs.

Does that mean the single adults who don't have children do not need life insurance? No. There are a few reasons why you would need life insurance, even if you're single.

If you passed away, who's going to pay for your funeral? A simple ceremony could be expensive. If you don't have a life insurance policy, someone else (your relatives, for example) will have to cover these bills. And if you just have a limited plan, death insurance may be used to cover these expenses.

Do you have debts in excess of your savings, or do you owe money to anyone else? You can be a joint debtor with your sister on her mortgage. If you passed away, she would be responsible for the whole debt. Can she make monthly payments on her own? A life insurance policy, naming her as your beneficiary, might give her enough money to cover your mortgage portion, or maybe to pay off the entire debt.

Finally, is it possible that your health is going to deteriorate? You may have a family history of a certain health issue. If that's the case, you may have trouble buying life insurance later when you're older, particularly if your health has started to decline. And if you're single right now, it would be smart to buy life insurance right now before it gets too expensive or you become uninsurable. You can not live alone forever, after all.