5 Life Insurance Myths Debunked
Insurance is necessary to protect you and your loved ones in today’s world, but it’s not always easy to understand. In fact, there are many misconceptions about life insurance like who qualifies, when is the best time to buy insurance, and at what age. To help set the record straight, here are some of the most common life insurance myths with the facts:
Myth #1: Young adults don’t need life insurance
Fact: When you’re in the prime of your life, life insurance can seem unnecessary. People often buy into the idea that they don’t need coverage when they’re young, healthy and single. If you’re married and have a family – or even just thinking about starting one – life insurance could be helpful. That’s especially true if you have a mortgage, student loans or other kinds of debt that will need to be paid after you’re gone. The truth is getting a policy when you’re young could be a great move.
Myth #2: Life insurance is only for healthy people
Fact: If you have a pre-existing medical condition, you might think life insurance isn’t an option. TruStage® Guaranteed acceptance could be the right plan for you if you have chronic health issues. No one can be denied coverage with a guaranteed acceptance policy, and you don’t need to go through a medical exam to qualify.
Myth #3: Stay-at-home parents shouldn’t get life insurance
Fact: If your entire family relies on a single person to pay for your home, car, groceries and other necessities, you might think only the breadwinner needs life insurance. But life insurance is just as important for stay-at-home parents.
End of life costs – medical bills, funeral costs, etc. – can add up fast. And it’s hard to budget for everything in advance. Even if your family doesn’t count on you for financial support right now, the payout from a life insurance policy could help them pay any bills that are left behind after you’re gone.
Also, who’s going to take care of the kids if something happens to a stay-at-home parent? You might need to pay for daycare or a nanny, which can add up fast. On average, you can expect to pay somewhere between $9,000 and $9,600 on daycare each year. And that’s just for one child.
Myth #4: Anyone over 60 is too old to qualify
Fact: It may be true that premiums are likely to go up the longer you wait to get coverage. But this particular life insurance myth doesn’t tell the whole story. You can still get a policy when you’re 60 or older.
Myth #5: Life insurance covered by your employer is good enough
Fact: There are a lot of problems with employer-provided life insurance. For one, the payouts can be pretty bare. The biggest issue, though, is that your coverage might not continue if you move on to another company.
Fact: Insurance protection for NIHFCU members through TruStage life insurance can help protect the people who matter most in your life. Insurance plans and policies offer affordable rates to fit your budget.
From TrueStage
