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Is Term Life Insurance Best for Those with No Dependents?

By January 14, 2019 October 6th, 2020 Insurance

Mother, Father, Young Son and Toddler Daughter Pose in Front of a Lake, Smiling and Huddled Together

Term life insurance is one form of insurance providing a payment at the end of life. It remains in place for a period of time. For some, including those with or without dependents, this policy can work well. Choosing the right coverage for your needs is important. That is why a customized quote from your agent is best. However, there are a few things to consider about term life insurance before you buy it.

Term Can Cover Specific Goals

Those who have dependents tend to want several things from their life insurance. If you have dependents, you may want to:

  • Leave money behind for their needs
  • Cover your final expenses, so your family does not need to do so
  • Pay off your bills, including mortgages and loans, so your loved ones do not have to worry about these costs

Term life insurance can help in these ways. For those with no dependents, it can still be a worthy investment. You can purchase a policy capable of paying off any debt you have. This can prevent any losses to your estate.

Perhaps you plan to leave your estate to a charity or a friend. Your life insurance can cover your final expenses as well. This helps to ensure you do not have to worry about those concerns later. You can also appoint your business or a charity to receive the funds from your term life insurance policy after your death.

Think About Coverage That Does More

Term life insurance isn’t the only type of coverage out there, and it might not be right for you. Some forms of life insurance can offer some financial gain during your lifetime, too.

For example, some whole life insurance policies pay you during your retirement. You earn money based on how well the underlying investments in your policy do over the course of your life. This can help give you a bit more income during your retirement years. 

Also, some forms of life insurance allow you to borrow from them during your lifetime. This is often a low-cost loan that can help you achieve a variety of your goals. You may also want to choose whole life insurance so you can fund the financial needs of your business after your death.

Work with an Oklahoma City life insurance agent to learn more about your options. Most people are sure to find opportunities to fund their specific goals. A lack of dependents does not eliminate the need or benefits life insurance can offer to most people.