The Risks of Not Owning Life Insurance

Parents watching twin daughters play in park

by SEIU Member Benefits

Have you thought about the risks of not owning life insurance?

Many people prioritize health and auto insurance on their list of must-haves. Lower down on the priority list (in fact, often times not appearing at all) is life insurance. Especially when money is tight, expenses with no immediate reward, like life insurance issued by The Prudential Insurance Company of America, are often trimmed from personal budgets.

For many working people just starting their careers, the decision to purchase life insurance or increase existing life insurance to an appropriate amount may be deferred. Unfortunately, waiting for the economy to pick up or an income to increase to purchase life insurance can backfire.

Two of the possible risks of not having any or enough life insurance include:

1. Burdening your family members with the cost of settling your estate. When you die, even if you never married or had children, you may leave someone on the hook for your outstanding debts. Whether it’s your car loan, school loans, mortgage, rent, or credit cards, you may leave some amount of debt behind when you pass. How will your family settle your estate? In the best of times, few people may be prepared to pay off the debt of their loved ones. Added to your debt can be the cost of your final arrangements. The average funeral costs between $7,000 and $10,000.1 It can be a lot to ask your family to pay out of pocket.

2. Difficulty obtaining life insurance at an older age. Health factors such as blood pressure, weight, or diabetes, which often worsen with age, may prevent you from qualifying for coverage. The best time to request coverage is when you’re young and healthy. If you wait too long and your health status changes, it may be difficult to qualify for coverage, even if you could afford the higher rates. Purchasing life insurance when you are young and healthy can be an important consideration.

SEIU Insurance Program

You work hard. Make sure you have a plan in place to help protect what you’ve worked so hard to build. Make sure your family can go on living the life you want for them even after you’re gone.

Visit to apply for affordable Group Term Life Insurance.

Have questions? Please call 1-844-836-7348 to speak to one of our experienced representatives today.


1. Policygenius, How Much Does a Funeral Cost?, 6/14/2023. SEIU Group Term Life Insurance Plan is issued by The Prudential Insurance Company of America, Newark, NJ. CA COA#1179. NAIC#68241.