I’m young and don’t have my own family. Is it too early to invest in life insurance?

Life insurance has many benefits that can help people of all ages. Plus, there are different kinds of life insurance to meet specific needs. Our Windgate Insurance Agency Inc. team knows that understanding life insurance can be difficult for anyone. As a result, we take pride in educating New Windsor, NY residents on how life insurance works, what’s available to them, and the different types of life insurance. 

What is life insurance?

Life insurance is a form of insurance that pays a named beneficiary or beneficiaries when you die. Some policies have living benefits as well. Typically, people purchase whole life insurance that is good for the entirety of a person’s life or term life insurance. Term life insurance is good for a specific period. When you invest in life insurance, you pay a monthly sum for the life of the terms of your policy. When you pass away, your beneficiaries receive a lump sum of money that can be used however they see fit. Life insurance can have many moving parts, including different benefits unique to your situation. However, it would be best to make your payments monthly, without lapse, for your policy to remain active. A lapse in your policy or an extended payment period would cancel your insurance, and your beneficiaries wouldn’t receive any money in the event of your death. 

Is it too early to invest in life insurance?

As a young person, life insurance is likely not the first thing on your mind. However, investing in young people can have benefits. For example, investing at a young age could help you to lock in a good rate over the life of your policy. Also, investing early would put you in a good position once you have a family. However, even without a family, life insurance still has benefits that would be helpful when you pass away. If you have questions regarding the benefits of life insurance, call us.