Is Life Insurance Important for Singletons?

Life insurance may be seen as something that isn't needed for single people. The ads that we see are often associated with married couples, people with families or individuals in a long-term relationship. Is this really the case, that only those with financial dependents should have this insurance, or should single individuals, with no immediate dependents, also be considering taking out a life insurance policy?

Here we run through some reasons why singles can also benefit from a policy, and may want to re-prioritise taking out life insurance cover.

Financial Responsibilities

Singles are not exempt from financial responsibilities, and you may have personal debts such as as loans or credit cards, or mortgage payments. By having life insurance, which acts as a safety net to cover your financial obligations in the event of an unexpected demise, you can help prevent your loved one from facing the burden of your debt.

Estate Planning

Life insurance can put you in control of how your assets are used after you have gone, ensuring that your assets are distributed according to your wishes. Through the designation of life insurance proceeds you can provide financial stability to your loved ones, or leave a lasting legacy behind by supporting a charity that is close to your heart.

Health Considerations

If you are young, single and healthy, you may have the opportunity to lock in lower premiums. Generally, life insurance is cheaper for individuals who don't have any significant health problems. If health issues arise later in life, it could be more difficult to get life insurance at a price that fits within your budget. By obtaining life cover earlier, you may be able to enjoy long-term financial protection and avoid these potential issues.

Funeral Expenses

Although something that most of us don't want to think about, there is a cost to a funeral, and they can pose a significant financial burden to families. By taking out life insurance, you can provide funds to cover the funeral expenses, and therefore relieve your loved ones of this financial strain. This can help alleviate some of the stress from a time is already emotionally challenging, and allow them to focus on grieving and healing.

Future Family Plans

Just because you are single now, it doesn't mean that you will be forever. If you do have marriage or children in your life plans, having life insurance will help financially protect your future family. By taking out life insurance early, you can ensure that you have cover in place prior to any many life changes. As already mentioned, it may be a wise choice to secure cover whilst you are healthy and insurable, as you could face more challenges should you encounter health issues down the line.

Peace of Mind

As with most insurance policies, the main benefit of taking out life insurance is the invaluable peace of mind that it brings. You can be reassured in the knowledge that should the unexpected occur that your financial responsibilities will be met, and your loved ones will be taken care off. This security will allow you to focus on enjoying your life, knowing that you have protected those that are important to you.

It seems that life insurance isn't just for married individuals, or those with dependents and it seems that singletons can also really benefit from taking out a policy.

These policies play a vital role in ensuring that financial responsibilities and funeral expenses are covered, your estate is distributed how you wish and your loved ones can have a secure financial future.

If you are ready to secure peace of mind, and take steps to protect yourself and your loved ones should the unexpected occur, start by reviewing your financial situation to determine what policy would be right for you.

Editorial Disclaimer: This article was updated 21.05.2023

Opinions expressed here are the author's alone, and not those of any bank, credit card issuer or any other company. This article has not been reviewed, approved or otherwise endorsed by any of these organisations.

NB: The information on this page does not constitute financial advice, please do your own research to ensure that the product / service is right for your individual circumstances.