Millennials and life insurance: should you take out cover in your younger years?

Since the coronavirus pandemic, the number of life insurance applications has significantly increased.

Life insurance is a type of insurance contract that pays out a lump sum to your dependants should you pass away or be diagnosed with a terminal illness during the term of the contract to provide for them after you’re not around. The cost of a policy is determined by several factors, including your age, health and lifestyle.

With millennials beginning to turn 40 this year, life insurance professional Adam Erlebacher calls on millennials to consider their protection options.

If you’re a millennial looking to see if life insurance is right for you, here are a few points you may want to contemplate:

Family:

The number one reason people take out a life insurance policy is to take care of their families. Depending on your circumstances, you may want to consider your beneficiaries, such as a spouse, children, or charity. If you decide to put a policy in place, make sure your policy information and details are shared with a member of your family so that they can access your policy when needed.

Business: 

If you own a business, there are many assets that you may have already protected. However, protecting yourself should always be your priority. Life insurance can cover the revenue you generate and help see your business through the sudden loss of your leadership. The cash from your life insurance policy can also be used to support a co-founder or business partner until they make the appropriate changes to get the company back on track. If you have a family-run business, you may want to consider life insurance to reduce your family members financial strain.

Health:

Generally, millennials are more health-conscious and proactive than previous generations. Therefore, depending on your circumstances, your life insurance is likely to be more affordable the earlier you take out a life insurance policy.

Deciding which dependants you want your life insurance to cover is a great start. However, there are other important factors you should pay attention to when looking to take out a policy. From how much coverage you’re looking for to the company you choose and their health examinations, it is really important to choose a provider that understands and caters to your needs.

At Cornerstone Finance, we get to know our clients to get them the best possible quote for their requirements. Life insurance can provide peace of mind that your loved ones would be financially protected if you were to pass away. So, if you’re on the market for a policy that’s right for you, feel free to complete our online quote form today.