When we think about being financially successful, we generally think about playing the stock market, saving money for retirement or owning real estate. While all of these can help you achieve financial success, there is another key to a good plan – life insurance. Why do only 62% of Americans have some kind of life insurance policy? Here are 3 common mindsets that hold people back from getting insured, and why we need to change them.
“I’ll Worry About That Tomorrow”
Procrastinating is very common in our lives, especially when it comes to looking into life insurance. It seems like such an easy thing to put off. “I’m far off from needing it so I’ll look into it later…” is something we’ve all probably thought. The sad thing is, there may not be a tomorrow. The need for life insurance is to cover the unexpected. We all know that we are going to die, but we don’t know when or how. So instead of putting it off and possibly leaving your family with nothing, look into protecting your life value today. You’ll be happy that you did.
“It Won’t Happen To Me”
The funny thing about this mindset it that 85% of Americans agree that most people need life insurance, yet we choose to believe we are not one of them. In a perfect world, we grow old and enjoy our lives and never need coverage for the unexpected. But, unfortunately it’s common that this is not the case. 70% of U.S. households with children under 18 would have trouble meeting everyday living expenses within a few months if a primary wage earner were to die today. Do you want to leave your family like this? None of us can predict the future. Protect yourself and your family before anything else, because the unexpected very well could happen to you.
“It’s Too Expensive”
Did you know that 83% of people say they don’t purchase life insurance because it’s too expensive, but they believe life insurance costs nearly 3 times the actual price? The reality is that not having any insurance can amount to even more cost in the event the unimaginable happens-and there is a difference between price and cost. Many people look at the premium payments as their only determinant in the evaluation of purchasing a policy. This is a critical mistake. Since life insurance products have evolved over the years, make sure you work with an insurance expert to learn about the new features and benefits associated with policies of today. You might be surprised to learn that many policies offer living benefits in addition to death benefits. Do your research about life insurance, so that you can be prepared for your future.
This process can seem really overwhelming and that’s ok. Find the right financial partner who will guide you through these choices. You’ll be glad you did.