If you are young and healthy, you may wonder what the point of getting life insurance is. After all, life insurance is for older folks and those who might have illnesses, right?
The truth is, almost everyone should consider life insurance while they are young and healthy since there are several benefits. With that in mind, the team at Medical Profiles Inc. is here to discuss the benefits of buying life insurance while young and healthy and young adult coverage.
It’s Cheaper
One of the main reasons to consider early life insurance planning is that it’s much cheaper than buying when you are older. For example, a healthy 30-year-old can get a 20-year $250,000 term policy for about $14 a month. In comparison, a 50-year-old would have to pay about $40 a month for the same policy.
Policies only get more expensive the longer you wait so it’s in your best interest to get started as early as possible to take advantage of an affordable life insurance plan.
The reason it is cheaper to consider life insurance when young and healthy is because there is less risk for insuring you. Even better, premiums typically stay the same when you buy the policy, so if you buy youth life insurance policies, you can lock in a low rate for the entirety of your policy.
Policies can also have healthy lifestyle benefits to further lower policy costs.
Build Wealth
Permanent or whole life insurance has a cash value component that accrues interest over time. As such, the earlier you buy, the more the policy will increase in value.
The cash value component of permanent life insurance can be used to build wealth and you can even take out tax-free loans against the value of the policy. Cash value accrual rates vary depending on the specific policy and either grow at a flat rate or at a rate pegged at a specific index.
Additionally, your policy’s beneficiaries will receive the cash value of the policy when you die tax-free. You can use life insurance cash value as a means to save for your retirement or put that money towards a loved one’s schooling.
This feature makes life insurance a valuable tool for long-term financial planning and financial security when young.
More Options for Coverage
The younger you buy, the more coverage options you have. Younger people generally have access to a wider range of policy terms and longer coverage lengths. For example, a 30-year-old shopping for insurance can choose between a wide range of term or permanent policies with terms ranging from 10 to 30 years.
In contrast, a 50-year-old might be limited to a handful of insurance options, such as simplified or guaranteed coverage. However, many insurance companies have specific options for older buyers, so you will almost always have an option to choose.
Accidents Can Happen
Last but not least, life insurance can give peace of mind against life’s unexpected turns. Even the young and healthy can get sick or be in an accident. Life insurance is the perfect solution to prepare you and your family for the unthinkable and ensure your loved ones can have financial stability in the event you die. You might be young and healthy, but you want to be as prepared as possible if tragedy ever strikes.
Paramedical Exams for Life Insurance and Wellness
There are several reasons to consider life insurance while young and healthy, so take the next step. The sooner you get started, the easier it is to get comprehensive and affordable coverage. Contact Medical Profiles Inc. online today or call (832) 251-3926 to schedule an in-person paramedical exam for life insurance – let us come to you!
