Most people purchase life insurance for two very simple reasons; they want to leave money to their children to provide for their future, or they want to ensure that their mortgage is paid off.
So why would you buy life insurance if you don’t have a mortgage or children?
Many people overlook or underestimate the cost of a funeral, which can be around £5,500, as well as any other small debts that they may have. It is possible to take out a life insurance policy that would cover you for as little as £10,000, enough to cover the cost of a funeral and take care of any other financial commitments you may have. A policy of this size is likely to return a very small monthly premium and you may find you can be covered from as little as £5 a month.
It’s also worth considering your future health. Is your health likely to deteriorate? Do you have a family history of cancer of heart disease?
If your health begins to worsen you may find it becomes much more expensive for you to purchase life insurance and in some cases it will be impossible for you to obtain cover. Taking out cover whilst you are young and healthy will ensure that your premiums is lower for longer.
With life insurance premiums having fallen for the second year in a row, now is the perfect time to ensure your family is protected from any financial difficulties they may face in addition to the stress and grief of losing a loved one.