Life insurance is essential to securing the welfare of your loved ones. It will ensure their financial stability is intact long after you’re gone. However, if you don’t have a significant other, is there any purpose for investing in life insurance? While these policies are generally affordable, you could save yourself some money by foregoing life insurance, but is that the best option for you? In this blog, we’ll discuss the circumstances that determine whether you should have life insurance if you’re single.
What Exceptions Influence If You Need Life Insurance if You’re Single?
When determining whether you need life insurance, the first question that often comes to mind is, “Who depends on my income to live?” When you’re single, oftentimes the answer to that question is only yourself. However, there are extenuating circumstances where your passing can affect others, regardless of whether you have a significant other, such as:
- You Have Dependents: You can be single and still have children that depend on you for financial stability. If your children rely on your income – especially if they have yet to graduate college – you’ll want to enroll in a term length that will safeguard them up until they graduate.
- Your Employer Offers Coverage: Many employers offer life insurance at no cost or for an incredibly low price. In this instance, there’s no reason not to take it.
- You Have Debt: Nearly every one of us has debt. If you want to save your family the burden of having to shoulder your school loans or other debts, you should – at the very least – invest in life insurance until those debts are paid off.
These exceptions are reasons a single person should consider investing in life insurance, but even beyond these circumstances, there is still another benefit to these policies that will allow your loved ones to pay you the proper respects.
Covering Your Final Expenses After You Pass
Even if you’re debt-free, your funeral or cremation costs are a lingering cost that your loved ones will have to cover. According to Bankrate, the average cost of a funeral in the U.S. is $7,640, which is a considerable amount for someone not prepared for such an unexpected cost. However, buying life insurance can ensure people will be able to pay their respects without having to sacrifice their financial stability.
What Are the Best Life Insurance Options for a Single Person?
It’s reasonable not to want to invest in a permanent life policy if you don’t have any intentions of having anyone rely on your income but yourself. However, if you still want to safeguard your closest loved ones, you can consider the following two policies:
- Term Life Insurance: These policies offer a guaranteed rate for ten years or longer, and you’ll be paying the lowest premium, making them ideal if you have temporary dependents, such as mentioned above.
- Final Expense Life Insurance: The rate of this insurance depends on your age, health, and lifestyle risk, but it does not require a medical exam. Generally, this policy is specifically used to cover funeral expenses and any additional fees incurred upon your death.
These options are perfect for those who aren’t responsible for the wellbeing of others but wish not to burden anyone with any final expenses upon their passing.
While not necessary, investing in life insurance if you’re single can ensure none of your loved ones are left bearing the brunt of your debts and funeral costs. As long as you put some time into choosing the right beneficiary and the best policy for your needs, you’ll be able to have a lasting impact on those around you. TJ Woods Insurance can help you in this endeavor by pairing you with the best policy for your needs and even help you file a claim. To discover your options, contact us today.
