Life insurance is about protecting your family or loved ones financial future, after you’re no longer here to do so in person. If you are married and have a spouse or children who depend on your income in order to pay the bills and necessities of life, you may need to seriously consider life insurance.

Even if you have little or no income contributing to the household are there other financial consequences that would impact the family as a result of you no longer being around? Would there possibly be additional childcare costs? Many experts estimate these costs alone can total $100k+ annually. And if you don’t have children, what about co-signed loans, credit cards, or automobile payments? And that does not include the cost of a funeral and burial, which can easily be between $10k and $20k. 

Since everyone’s situation is different, the question must be approached in a multifaceted way. There is no one-size fits all model when it comes to insuring the personal risk of an individual household.

If you’re financially set, congratulations. Assuming that your debts are all paid and your family and/or spouse will not experience a financial loss due to your high net worth and low debt obligations, then maybe life insurance is not high on your list of financial planning necessities, but keep reading.

So again, we’ll assume if you’re in this category, you have paid off your mortgage, credit cards, lines of credit, and other debts, and have accumulated enough savings for retirement. As a result of these financial accomplishments, there may certainly be less of an explicit need for life insurance, but even those in this category could face uncertainty and there may be implicit reasons which are well worth considering.

If you find yourself in the financially set category, you’re certainly in the minority of the population and there’s a good chance you may not need life insurance, or at least you may not think you do. But even if the above description reflects your current situation, we encourage you to consider a few important points which we will cover below. Perhaps we can share a few ideas with you that prove useful in your questions regarding life insurance.

What if your loved ones assets were at risk due to an unexpected lawsuit? And what if the lawsuit was the result of circumstances which involved your death, such as a negligent auto accident?

What if your surviving loved one(s) were to need specialty care after you pass away? Depending on the type of care needed, and the amount that you had planned for retirement, this could easily wipe out your nest egg and bring about great unexpected financial challenges for those you love the most.

What if there was an economic collapse which devastated the asset class that your retirement funds were invested in? What about other events such as pension failure, war, famine, the stock market crashing, or a currency collapse?

Could the world experience geo/political upheaval, riots, unexpected violence? Sure it could, it has happened before and it could again.

What about sudden Earth changes like radical climate change, earthquakes, floods, or even a meteor impacting Earth?

Yes, many of these scenarios involve a great deal of uncertainty, and are highly unpredictable and quite possibly even unlikely. But unlikely to take place and impossible are two very different things.

There may be a low probability of any or all of the above events occurring, you might argue, and we could agree, yes, each of them are rare one-off events  – with quite possibly the exception of a lawsuit, which are not so rare these days, but it doesn’t change the fact that things do happen, even highly unlikely things can and do happen.

While it’s entirely possible that you may say, life insurance would not play a significant role in helping to make my surviving loved ones more financially stable, that statement would be 100% based on the information that you have available today. And you won’t have the luxury of making changes to your life insurance plan after you have already passed. The time to plan and take action is today.

Since none of us can see or predict the future, that brings us back to the subject of, and the exact role of, insurance. Insurance is designed to fill in the gap of these unpredictable and even unlikely situations. It evolved over thousands of years for this very reason.  Life really is unpredictable. History has taught us that even our best plans will be challenged and proven to not be as fool proof as we once hoped they would be.

Life insurance fills a void like no other. It covers a family when there are little resources at hand as well as those who are financially set, and who at first glance may appear to have little need for its protection.

No matter which situation you find yourself in today, we invite you to take a moment and click the button below to start your life insurance quote today. You’ll have an opportunity to speak directly with a licensed life insurance agent who can assist you with all of your questions and help you to find the financial protection that your family deserves.