Why Life Insurance Before 30 is Smart (Even if You’re SURE You Don’t Need it)

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When you’re in your twenties, you spend a lot of time planning for your future.

At one point or another, you’ve probably thought about buying a home, getting married, having a kid — even saving for retirement. So why not add life insurance to your list?

We know. If you’re young and healthy, life insurance might seem like a waste of time and money. You’ve got other bills to pay, anyway. Plus, if you’re single and don’t have kids right now, what’s the point?

But the truth is, locking in a low rate for a term life insurance policy before you turn 30 — even if you don’t have a spouse, kid or home — could easily save you thousands of dollars.

Plus, getting a policy is super easy. It takes five minutes to shop your options through a company called Policygenius, where you can find $1 million policies for as little as $25 a month.

Benefits of Life Insurance (Even For Twentysomethings)

Let’s back up really fast and talk about the benefits of life insurance.

Life insurance basically makes sure whoever you leave behind when you die can afford to pay for your funeral, any unpaid bills and monthly living expenses.

If you’re married and/or have kids, it’s probably pretty obvious who’d benefit from your life insurance policy — your spouse or your child’s custodian. If you’re single and don’t have kids, think about who’d handle your funeral costs or who’s co-signed any loans with you (probably your parents).

In terms of how much coverage you’ll need, personal finance experts typically suggest a policy that’s 10 to 15 times your annual salary. Policygenius can help you figure this out when you get a free quote, and you can also change or update your policy at any time.

Why Getting Life Insurance in Your Twenties Can Be Smart

We’ve established many of us twentysomethings are thinking about our futures, right? Even if you don’t think you need life insurance right this second, you’ll likely — at some point in the next 20 to 30 years — find a partner, buy a house, or have a kid or two.

But the thing about life insurance is that the price ticks up and up the older you get and the more health issues you inevitably encounter. So if you can lock in a price right now for the next couple of decades, you could save hundreds, if not thousands, of dollars.

Want to see how little life insurance can cost you a month as a healthy twentysomething? We suggest getting a free quote through Policygenius. It takes about two minutes to enter your basic information.

Once you find a policy that fits your needs, you’ll apply online and finish up the process with a quick phone call from a representative who’ll be able to answer any questions.

Now you’ll have one less thing to worry about in the future — and you can save a ton of money in the process.

Carson Kohler ([email protected]) is a staff writer at The Penny Hoarder.