Starting your first job? Here are three reasons why you need life insurance now

Congratulations on landing your first job! Pat yourself on the back for taking the first step to a challenging yet rewarding career path.

After you have settled in your post, the next order of business should be getting personal life insurance.

As a young woman at the peak of her health, life insurance may not make a lot of sense. But there is solid proof that building a solid financial foundation at a young age will allow you to live your life to the fullest.   

If you are still on the fence about the value of life insurance at this point in your career, you may request an Allstate life insurance quote or one from other insurance companies. An agent will be able to walk you through the process and address all your doubts and questions. 

Studies show that 65% of your contemporaries do not have life insurance coverage. Veer away from the pack and add life insurance to your “Adulting” toolbox for the following three vital reasons.

1) It will help to pay off your student loans

One out of five Americans carries the burden of student loan debt throughout their adult life. Federal student loans will not cause problems since they are automatically canceled and discharged. But if you have an outstanding private student loan that has your parents as co-signers, then you need life insurance. 

According to the law, co-signers have equal responsibility for a debt. In the unfortunate event that you pass away, the lender will still expect that the loan you owe them will get paid. A life insurance policy will wipe out the debt. It will take away the heavy financial burden from your parents. 

Aside from student loans, you may have other liabilities such as car amortization and credit card debt. Your next of kin will be held responsible for the payment of these loans in case you die. A life insurance policy will cover these loans and save your parents or siblings from taking on the massive task of paying a considerable amount. 

You may not have a huge income at the beginning of your career. Look for ways to save money on your insurance policy so you can still afford to get one.

2) It can pay for funeral expenses

As the saying goes, death and taxes are the only certain things in life. It may be the last thing on your mind right now, but preparing for it is part of being a responsible adult.

The average cost of a funeral can be as high as $9,000. A life insurance policy is a good investment so that your loved ones would not be saddled with those costs in case something happens to you. You do not need a significant premium to start.

Shop around and find an insurance quote that fits your budget and your needs. Nothing is more painful than worrying about money in times of grieving.

3) You can financially support your loved ones

Statistics show that 6.2 million millennials are primary caregivers for a parent, a grandparent, or an in-law. The general rule is, if someone is relying on you to live, then you need life insurance.

If helping out your aging parents is part of your long- term plan, then you need life insurance. It will take care of their long-term living expenses and healthcare if you cannot provide for them anymore.

Life insurance is more than paying a fixed amount every month. It will be a lasting gift of love and gratitude for the people you value the most.

Photo by Kelly Sikkema