If you don’t yet have life insurance, or if you think you might need more coverage, than you are not alone. A recent study from the Life Insurance Marketing and Research Association shows 80 million Americans do not yet have life insurance and another 26 million say they need more coverage.
September is Life Insurance Awareness Month, an observation started in 2004, and the perfect time to learn about this important aspect of adult life.
Some important things to keep in mind:
- Life insurance is probably cheaper than you think. If fact, half of Americans overestimate the cost of life insurance at more than 3x the actual cost!
- Life insurance is mostly tax-free, depending on the type of product. The exception is any interest received, which is taxable and needs to be reported to the IRS.
- Life insurance gets more expensive as you get older. The younger you are, the lower the cost will be.
- Covering funeral expenses is the most popular reason people buy life insurance. Here’s what people say is important to them: Covering funeral expenses – 83%, Replacing wages of the insured – 68%, Leaving an inheritance – 63%
- Most people are not confident in their knowledge about life insurance.
Additionally, U.S. life expectancy at birth dropped in 2021 to its lowest level since 1996, according to new federal data, another reason Americans without life insurance should consider purchasing this coverage.
“Now is a perfect time to sit down with an insurance…
