4 Life Insurance Misconceptions Exposed

People don’t like to talk about death or debts. However, unless you have a robust plan, you might leave a financial burden to your loved ones after your death. Life insurance is not taught in schools, but it is a cornerstone of a robust financial plan. You need life insurance to protect your loved ones; more so, if you have debts.

Most people in Raleigh will go miles to protect their loved ones. However, the decision of buying life insurance is often met with confusion, unwillingness, and sometimes denial. There are many misconceptions surrounding life insurance, and they often discourage people from purchasing a policy. Surprisingly, studies indicate that close to 25 percent of Americans avoid shopping for life insurance due to these myths. However, you need to separate fact from fiction when it comes to buying life insurance to protect your loved ones when you are no more.

Life insurance is expensive

The most significant misunderstanding about life insurance is that it is costly. Studies reveal that over 80 percent of people overestimate the cost of life insurance. The truth is that life insurance is affordable and not as expensive as most people assume. The best part is that you can get an estimate from several life insurance companies so that you choose the most convenient and affordable policy.

I don’t need life insurance

confused man with hands in his head

Many people have all sorts of reasons to justify why they don’t need life insurance. Some people think that they don’t need life insurance because they are not the breadwinner of their families. Others assume that since they are too young, they don’t have to think about life insurance. You might also have heard that you don’t need life insurance if you have small kids. All these are excuses for not buying life insurance. The truth is that everyone needs life insurance even if they are not the breadwinners, they are young, or they have small children.

You are better off investing your money instead of buying life insurance

You are taking a considerable risk if you solely depend on your investments to look after your loved ones. The chances are that there may be no means of providing for your loved ones if you die without a life insurance policy and your assets get depleted. You shouldn’t bank on your assets to take care of your family upon your death. A life insurance policy is essential in making sure that your family has enough besides the investment that you leave behind.

You can’t get life insurance if you have health issues

You can buy a life insurance policy unless you have severe health concerns. However, that doesn’t mean that you are not eligible for life insurance if you have severe health conditions. Anyone can buy life insurance, regardless of their health condition. However, the policy is usually affordable for people in good health.

Life insurance misconceptions are everywhere. But they exist in the minds of less-informed consumers. Now that you have known the facts about life insurance and debunked the myths, you can make an informed decision to buy a life insurance policy.