In 2010, LIMRA came out with a study called "Trillion Dollar Baby - Growing Up" which noted that 79% of households surveyed who are under insured believe they cannot afford life insurance.
This is a HUGE misconception. Customized life insurance is available to suit nearly every need and budget.
For example: A healthy 35 years old male can buy a 20 year term life policy for $250,000 for less than $20/mo! And for less than $120/mo, that same person can purchase a guaranteed death benefit for his lifetime.
For many people, the secret is to start small, then stick with it. As years pass, your needs change, your income grows and you can add coverage and refine your life insurance strategy.
The key is to just START.
We understand we are in a period of economic uncertainty and that adding a monthly payment for life insurance is just adding more to your monthly budget during already tough times. However, economic uncertainty should be the reason you purchase life insurance.
According to the LIFE Foundation in 2009:
Americans recognize that life insurance is more important than ever. As a matter of fact, 56% of Americans say the economic downturn has made life insurance more critical
Losing the family bread winner due to an unexpected passing can destroy a family's lifestyle. Especially during a period of economic uncertainty. With the job market being tight and incomes lower, there's no guarantee your family can step up to replace the income that was lost, even if they intended to. A small monthly payment will give your family that peace of mind that no matter what happens, they're taken care of.
Most people who think that life insurance is too expensive aren't looking at the bigger picture and the conditions surrounding them. If you think your family can't afford a small payment for life insurance, we ask that you reconsider.
We are still near all time lows in the cost for term life insurance. With interest rates low and life insurance companies being required to carry more reserves, the price for individual life insurance will only get more expensive over the next few years.
Consider our advice to start now. Even if it's something small. It's common to adjust your life insurance program as you move on. Life insurance is not expensive when you consider the alternative to your family not having it if something were to go wrong.