A lot can happen in your 30s. You might be getting married, starting a family or looking to buy your first home. But have you thought about life insurance?
Life starts getting pretty real in your 30s. You might get married, raise a family, buy a house, lay down roots and finally bring home that golden retriever you’ve always wanted. It’s a lot. That’s what makes it a good time to start planning for your family’s future.
As tough as it may be, you need to consider what happens to your family if something should happen to you. The choices you make today can make all the difference for the people you care about most.
Here are five reasons to think about life insurance in your 30s:
1. You have bills to pay:
Monthly bills – story of your life.
Your mortgage or lease, car payments, utilities, credit card bills, student loans: A big chunk of your paycheck is likely tied up in these expenses. Against all odds, you’ve managed to set aside some cash for that Blink-182 reunion tour, but you’re still on a tight budget. That’s just one more reason a life insurance policy might make perfect sense.
When you’re gone, how is your family going to pay for your home or your outstanding loans? A life insurance policy may help your loved ones take care of the bills you leave behind.
2. You have a family to support:
People are waiting until they’re older to start families of their own. Your parents and your grandparents may have gotten married and had kids in their 20s. But more people today are waiting until their 30s or later to settle down. And why not? With Bumble, Hinge and all the other dating apps out there, it’s easier than ever to play the field and hold out for that perfect someone.
In fact, for the first time ever, women in their early 30s are having more babies than twentysomethings.
Does that situation sound familiar to you? If so, you may want to think about what happens to your family after you’re gone. Getting life insurance in your 30s may give your family financial support down the road.
3. You want to help pay for your kids’ education:
Getting a diploma is pretty expensive these days, regardless if you’re talking about a four-year college, associate degree or vocational school. And with rising tuition rates, it isn’t going to get any easier. Even sending your kids to a public, in-state school is often pricey: The average annual cost is more than $20,000 after adding up tuition, room and board, fees and other expenses.
For most people, personal savings just won’t cover the cost of education. Student loans are an option, but they might saddle young people with debt for years afterward.
The payout from a life insurance policy could help pay for your children’s education if you can’t be there to support them yourself.
4. It might be less expensive while you’re young:
Insurance companies set their premiums based on a lot of different factors, but age is one of the most important. Youth often means fewer health problems – what with all the health tracking apps, rec sports leagues and 5ks with friends – and insurers recognize this. That could be to your benefit.
Getting life insurance when you’re still young may help you find a policy that meets your immediate needs and fits your budget. For people in their 30s, this often means a term life insurance plan. Coverage amounts tend to be higher than a whole life policy and costs are designed to be budget-friendly. In many cases, it’s the ideal type of life insurance policy for a 30-year-old.
5. Your parents co-signed your loans:
Securing a loan to buy a new house or to start a business isn’t easy, especially without a spotless credit history. Like many other 30-somethings, you may have asked your parents to co-sign your mortgage or other loan. That means they’ll continue to be on the hook for those payments if something happens to you.
They helped you when you needed it most, and life insurance can help you return the favor. The payout from an insurance policy could be put toward those bills and protect your home, business or investment without draining your parents’ bank accounts.
No one knows what the future holds, but life insurance in your 30s may offer some comfort in case something happens to you. At TruStage®, we’re happy to walk you through all of your options to find the right policy for you and your family.
