If something happens to you, your loved ones do not just lose you—they also lose your income, on top of everything else you provide. If you provide financial or caregiving support to someone, it is essential to ensure they are taken care of if they lose you.

If you fall into one of these categories, you likely need life insurance:

Parents:  According to the USDA, raising a child costs about $234K, without even considering college tuition. If you own life insurance at the time you pass, it can help ensure your children will have financial support to grow and live the life you want for them. 

Breadwinners: If you are the primary earner for your family, a life insurance policy can provide income replacement should something happen to you. A term policy can be customized to give you coverage through your peak earning years.

Stay-at-home parents: Even if you do not provide any income, you likely provide a measurable value to your family that they would have to replace if you passed away. Salary.com found that stay-at-home parents contribute the equivalent of a $162,000 annual salary to their families. A life insurance policy for you eases the financial burden for your partner.

Divorced parents: Provides policy disbursements for life. Choose an irrevocable disbursement option: level, increasing or potentially increasing.

Students: Unfortunately, your student debt might not disappear if you pass away. If you have a private student loan, your parents, cosigners, or other family members could be on the hook for your debt.

Homeowners:  A mortgage will probably be the largest debt you ever take on, and you would not want to leave your cosigner or family members stuck with it. If you own a home, consider life insurance coverage that lasts at least as long as your mortgage. 

Retirees: It is natural to have concerns about covering your final expenses if you are at or approaching retirement age. A whole life insurance policy can help cover these expenses, giving you and your loved ones valuable peace of mind.

Caretakers: If someone depends on you, like an elderly parent or family member with a disability, what would happen to them if you were not around? You may want to consider coverage to ensure they are be taken care of.

Business owners: You have put a lot of work into building your business. Life insurance coverage can help ensure your business can continue operating if something happens to you.

When should I get life insurance?

Because life insurance rates increase as you get older, applying sooner means you can lock in your lowest possible rate. With that said, there are several milestones in life when you should reevaluate the coverage you have—or get some for the first time—to make sure you have everything covered. These milestones include:

• Getting married
• Having a child
• Buying a home
• Taking on debt, like student loans
• Starting a business
• Planning for retirement
• End-of-life planning

What if I already have coverage through work?

You may already have some life insurance coverage from your employer. However, that policy might only provide a fraction of the coverage you need. Employer-sponsored policies typically offer coverage that is about 1 – 2 times your annual salary. Financial experts recommend having coverage that is about 10 times your salary. This disparity can result in a large gap in protection if you solely rely on your policy through work—which is why many people buy individual term policies to supplement the coverage they receive through work.

Conclusion

Life insurance is more than just a financial safety net—it is a promise of security and peace of mind for you and your loved ones. Whether you are a parent, breadwinner, student, or retiree, having the right coverage can make all the difference when life takes an unexpected turn.

It is never too early to start planning, and the best time to secure life insurance is when you are young and healthy. By doing so, you lock in lower rates and ensure protection for those who depend on you.

Don’t wait for a milestone or a life event to reevaluate your coverage. Take action now, review your options with an experienced insurance agent, and build a plan that fits your unique needs and future goals. The right life insurance policy does not just protect—it empowers you to live with confidence, knowing you have taken care of what matters most.

This article was provided by Ethos, a trusted leader in life insurance solutions. Get a FREE Instant Quote.