Take out life insurance when you rent a home
Life insurance has been held back in many people’s eyes by the traditions it is supposed to follow. Traditionally customers would get married, buy a house and then have children together. They’d take out their first life insurance policy at the same time as buying their first house, and they’d usually take the policy offered to them by their mortgage advisor or bank.
The possibilities, and the order in which life’s major events happen has now changed substantially, and it’s about time peoples conception about when to take out life insurance did as well.
People no longer get married first, then buy a house and then have children. Many people have children first, and then buy a house later, and a lot of people rent their homes as a couple for a long time before buying a house, simply because saving up a deposit the size you need these days takes so long.
If a couple rented a home together, then had two children and then got married, before finally buying their first home when their children were 10 and 12, they certainly shouldn’t wait until they buy their first home to take out life insurance. From the minute they rented a home together they had a financial responsibility to each other, and when they had children that financial responsibility increased.
If one of those parents had died when the children were 3 and 5, then they’d have left the other half with two young children to look after, childcare costs, and facing the prospect of paying the rent and all the bills off one income.
With a life insurance policy you can protect your financial responsibilities, and make sure that if the worst happens, the people you love will be financially looked after. They’d have enough money to buy a family home, or to pay off their mortgage, and enough money to raise your children without struggling financially.
Life insurance is hugely important, so forget about the traditional time to take it out. If you have any form of financial responsibility you should think about life insurance now.