Do You Need Life Insurance if You Have No Mortgage or Children?

Life Insurance

The answer is yes, you probably do. A whole life insurance policy for final expenses that has a fixed payment for life is a great fit for people in this situation. Don’t wait until you are older and in failing health to starting looking for life insurance because you may get declined or have a poor class rating. Get life insurance when you are younger and in better health to lock in at a potentially lower rate; it’s a great way to protect your financial future, whether you have kids, or don’t. You don’t want to leave loved ones in a financial bind.

Earlier in my career I worked with a couple who were related to close friends of our family. The couple had no children of their own. At the time they made the determination that they did not need life insurance coverage. I can still hear him saying, “We have no children, no loans or mortgage, and minimal expenses – we don’t need this”.

Years later, the husband unfortunately fell into poor health. His wife was really struggling with his care and ultimately had to put him in a nursing facility, and then had to rent an apartment of her own. She visited him every day, until one day she didn’t come. She had unexpectedly passed away. Since her husband wasn’t in any condition to plan her services, this responsibility fell to one of her sisters.

Because of their lack of planning – and a lack of life insurance coverage – the sister was left in a tight financial spot. The couple didn’t name beneficiaries on any of their accounts, and everything else was in their own names. And - they still had no life insurance. Ultimately, her sister and her family had to come up with the costs associated with the funeral. Not long after, the husband also passed away and again her sister had to struggle to cover his final expenses. Having some life insurance would have really helped make these difficult times a little easier to bear.

In my experience, having some life insurance coverage is better than none. Think about how your family members will be affected, if you were to leave them with no financial protection. Please give me a call at 1-800-651-1953 to discuss your options. After all, we never know when life will throw us a curve ball, be prepared.