By Sylvie Tremblay and the Sun Life team
Too young to buy life insurance? Think again!
Because of the COVID-19 pandemic, do you prefer to postpone all financial questions? Did you know that life insurance could help you balance your short-term goals – and achieve them?
“Life insurance is a cornerstone of any well-designed financial plan,” says Mark Coutts, Sun Life Financial Advisor. It’s a safety net. As you pursue your life goals, that assurance is there when you need it. »
Why buy life insurance when you are young, at twenty or thirty?
Life insurance is financial protection for you and your loved ones.
It can help you get the security you need to achieve your financial goals. It will be beneficial when, later, you want to:
to buy a house;
get married;
expand your family.
According to Coutts, these steps are necessary not only on a personal level but also crucial for your finances. They mean that more responsibility rests on your shoulders. For example, you might have a mortgage to pay off. Or a family that counts on you.
Life insurance helps you meet these responsibilities. How? ‘Or’ What? If you die, your family or beneficiaries may receive a tax-free death benefit (also called a death benefit).
What is a death benefit? The beneficiaries (your loved ones) receive a fixed sum of money when you (the insured person) die. The gift can be used to pay the mortgage and living expenses. This helps your family be financially secure.
Important milestones in a financial journey, such as buying a home, can be the perfect opportunity to review your coverage. But buying life insurance at a young age offers other benefits, regardless of your short-term financial goals.
It is less expensive. The younger and healthier you are, the lower your monthly premiums are likely to be. (Premiums are fees payable per month or per year.)
Getting approved is easier. Companies are more likely to approve your insurance application if you are in good health. When you’re young and fit, purchasing life insurance makes it easier to get coverage. Also, if you put this off, your choice might be narrowed.
How do I find life insurance that suits my situation?
Having insurance coverage is essential. But having coverage that suits your financial situation is even more so. An advisor can help you. Ultimately, you will have more confidence in your financial future.
A Sun Life Financial advisor can:
review your current needs with you;
explore with you your future needs;
help you set your priorities.
It is now possible to consult most advisors by videoconference. Find an advisor.
