Life insurance is worth considering in most circumstances and here we take a look at why insurance for single people might be deemed appropriate.
You are young and healthy
The premium you pay each month for life insurance is highly dependent on your age and your health, the younger and healthier you are the less you will pay. For example, if you were to take out a £400,000 life insurance policy at the age of 30 and have a non-smoker status with no health complications, it could cost as little as £11.24 a month (L&G March 2017). By waiting to take out a policy later in life you run the risk of it being a much greater cost, especially if any health issues arise.
You are living with your partner
If you own or rent a home with your partner you will usually have shared financial responsibility. If one of you were to die, would the other still be able to afford to live in the same place? Most mortgage terms are based on joint affordability when buying a home together, meaning it is unlikely you would be able to meet the payments on your own. Life insurance would ensure you had adequate money to meet your mortgage payments and maybe even help you pay off the mortgage entirely.
You plan to have children in the future
If you have children it is always a good idea to have life insurance to ensure everything is taken care of financially should the worst happen to you. Even if you don’t have children yet but are considering having them in the future, it’s always worth future proofing your life cover when it’s more affordable and less likely to be impacted by age.
You want to help cover the cost of your funeral
Funerals can be extremely expensive, figures from Royal London show that in 2016 the average cost of a funeral was £3675. Most people wouldn’t want to leave their family with the stress of such expense whilst also having to deal with grief. By taking out a life insurance policy your family may receive an advance payment to help cover this cost. For example, many providers such as Royal London have a fast track process. In 2016, 60% of Royal London’s claims were fast-tracked and on average claims were paid out within three days.
You may have to take care of family members in the future
If you plan on supporting your aging parents or maybe even a disabled sibling in the future, what would happen if you were no longer around to offer this support? By having a life insurance policy arranged you can make sure there is money in place to help support your family as planned.
If you would like to explore the life insurance options available to you then talk to one of our advisers today.