Have you thought about the risks of not owning life insurance?
Many people prioritize health and home 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.
Three risks of not having any or enough life insurance
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.
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.
Missing financial support during a terminal illness
Some life insurance policies, like SEIU Group Term Life Insurance, include accelerated benefits that allow you to access the majority of your coverage while you’re still alive if you’re diagnosed with a terminal illness. Without this feature, your family could struggle with the financial burden of medical bills, hospice care, or other related expenses. These benefits can provide much-needed relief, helping to ease financial stress and allowing your family to focus on what matters most.
SEIU Group Term Life 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.
Want to see if SEIU’s Group Term Life Insurance is right for you?
1 Policygenius, How Much Does a Funeral Cost?, accessed 6/14/2023. https://www.policygenius.com/life-insurance/how-much-does-a-funeral-cost/.
Group Insurance coverage is issued by The Prudential Insurance Company of America, a Prudential Financial company, Newark, NJ. CA COA #1179, NAIC #68241
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