4 reasons you do not need life insurance!Oct 01, 2021
Almost everyone needs insurance - seriously! **Almost** anyone...
The 4 situations where insurance is not necessary are:
𝟏. 𝑵𝒐 𝒐𝒏𝒆 𝒅𝒆𝒑𝒆𝒏𝒅𝒔 𝒐𝒏 𝒚𝒐𝒖 𝒇𝒊𝒏𝒂𝒏𝒄𝒊𝒂𝒍𝒍𝒚.You do not have kids or other dependents that would have a tough time surviving financially if you were not around to help them.
Grieving the loss of a parent is awful. Leaving your family a bunch of money will never replace you, but them not having to worry about how to pay the mortgage and still being able to dream about going to university helps.
𝟐. 𝒀𝒐𝒖 𝒅𝒐 𝒏𝒐𝒕 𝒐𝒘𝒆 𝒂𝒏𝒚𝒐𝒏𝒆 𝒂𝒏𝒚𝒕𝒉𝒊𝒏𝒈. No debt? Lets goooo! Having a mortgage, line of credit or credit cards, or student loans is the most common reason for having life insurance.
Unfortunately these things don't just 'go away', the banks or lenders will come for their money and an insurance policy is a good way to make sure your surviving family does not have to sell your house, cabin or investments to come up with what they - or the CRA - are looking for.
𝟑. 𝒀𝒐𝒖 𝒅𝒐 𝒏𝒐𝒕 𝒑𝒍𝒂𝒏 𝒐𝒏 𝒉𝒂𝒗𝒊𝒏𝒈 𝒌𝒊𝒅𝒔 𝒂𝒏𝒅 𝒚𝒐𝒖 𝒂𝒓𝒆 𝒏𝒐𝒕 𝒘𝒐𝒓𝒓𝒊𝒆𝒅 𝒂𝒃𝒐𝒖𝒕 𝒚𝒐𝒖𝒓 𝒑𝒂𝒓𝒆𝒏𝒕𝒔 𝒐𝒓 𝒐𝒕𝒉𝒆𝒓 𝒑𝒆𝒐𝒑𝒍𝒆 𝒕𝒉𝒂𝒕 𝒂𝒓𝒆 𝒐𝒍𝒅𝒆𝒓 𝒕𝒉𝒂𝒏 𝒚𝒐𝒖 𝒈𝒆𝒕𝒕𝒊𝒏𝒈 𝒔𝒊𝒄𝒌 𝒂𝒏𝒅 𝒚𝒐𝒖 𝒉𝒂𝒗𝒊𝒏𝒈 𝒕𝒐 𝒕𝒂𝒌𝒆 𝒄𝒂𝒓𝒆 𝒐𝒇 𝒕𝒉𝒆𝒎.
Even if you do not have insurance needs now, if you plan on it in the future and want to get one step ahead in your financial plan, buy some term insurance now. Depending on how young you are, you can get a $500,000 insurance policy for 20 years for less than $20 per month.
Why would you do this, you ask? If you got sick or were diagnosed with something five years later, right when you 'need' insurance, you would have a tough time getting coverage at a reasonable price. Insurance is ALWAYS cheaper yesterday than it is today.
𝟒. 𝒀𝒐𝒖 𝒅𝒐 𝒏𝒐𝒕 𝒘𝒊𝒔𝒉 𝒕𝒐 𝒍𝒆𝒂𝒗𝒆 𝒂 𝒍𝒆𝒈𝒂𝒄𝒚 𝒖𝒑𝒐𝒏 𝒚𝒐𝒖𝒓 𝒅𝒆𝒂𝒕𝒉; no kids, no charities, churches or causes that are dear to your heart that you would want to be remembered for supporting.
If you do not plan on having kids, your parents and other elders in your life are well off financially - you probably don't need life insurance. Life insurance can be used as a way to multiply the value of your estate though, so if you want to leave a million dollars to your church or favorite animal rescue charity, life insurance is a very cheap way to do it!
Questions? Lets hear 'em in the comments below 🙌
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