Do you need life insurance in your 20's

Let’s face it, life insurance is probably one of the last things you’re thinking about – let alone considering buying – in your 20's. After all, you’re still young and healthy, right? And given the steadily increasing cost of living in South Africa, even if you wanted to take it out, what are you going to sacrifice to manage the premiums? Your next phone upgrade? The new car you’ve been holding out for? Not likely.

We get it. The thing is, can you afford not to get life insurance in your youth? Here are a few things for you to consider before you give an answer:

Insurance premiums are determined by several factors, including your age and the state of your health. You’ll never be as young as you are today and there’s a pretty good chance you won’t be as healthy either. The younger you are and the better your health, the cheaper your life insurance premiums will be, which means that they’re not likely to ever be as cheap as they are today. What’s more, if you take out life insurance in your 20's, whatever may happen to your health in the future, your monthly payments shouldn’t be affected.

Granted you may not own your own home yet, but there’s a good chance you’ve already accumulated a fair bit of debt in your 20-odd years on the planet. For one thing, you may have taken out a student loan to fund your studies. Then there’s the car you needed to finance to get you to and from your new job. Sound about right? And what about retail accounts or credit card debt? Climbing the corporate ladder definitely requires a certain amount of style. But have you stopped to think about who will cover your debts if anything should happen to you? If your parents have stood surety on your student loan, or they’ve cosigned your home loan in the event that you do in fact own your own home, they’ll be left facing the repayments when you’re no longer here.

Do you have dependents who rely on you financially? Perhaps you already have your own family, or a sibling or elderly parents you’re taking care of? If the answer is yes, taking out life insurance will give you the peace of mind that comes with knowing that your loved ones will be taken care of if you die.

Yes, you’re probably healthier now than you will be 10, 20, or 30 years from now, but that doesn’t mean you’re invincible. According to a press release sent out by the Road Traffic Management Corporation in June 2015, “Trends in South Africa indicate that young people between the ages of 20 and 39 constitute more than half of the people who die on the roads daily as result of road crashes.” Sobering stuff. Especially if you have dependents.

Yes, you’re probably healthier now than you will be 10, 20, or 30 years from now, but that doesn’t mean you’re invincible. According to a press release sent out by the Road Traffic Management Corporation in June 2015, “Trends in South Africa indicate that young people between the ages of 20 and 39 constitute more than half of the people who die on the roads daily as result of road crashes.” Sobering stuff. Especially if you have dependents.

Seriously considering whether or not you need life insurance? FRANK.NET offers no-nonsense life insurance of up to R10 million. To find out more, let us call you back or get a quote.

Sources
rtmc.co.za

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