Common Reasons People Don’t Buy Life Insurance But Why You Should

Oct 31, 2023 2 min read

No one wants to think about losing a family member or loved one, but having a life insurance policy in place will help you should the worst happen. Here are the most common reasons why people don’t buy life insurance, and how it can impact them.

Why Don’t People Buy Life Insurance?

  1. I Don’t Need Life Insurance Because I Don’t Have Any Kids

Yes, kids are a big reason why some people have life insurance. However, if you don’t have kids, there are most likely other people in your care that would need the coverage. If there is anyone in your life that would suffer financially from your loss, like a sibling or spouse, a life insurance policy could help. There are also other uses for life insurance, like covering mortgage payments, keeping a business in the family or paying for elder’s care.

  1. Life Insurance Is Too Expensive

Many people overestimate the true cost of life insurance and believe that it is too expensive for them. It is true that the cost of life insurance can vary based on several different factors, but getting coverage can be more affordable than you think. Even with other financial obligations, such as phone payments, water and Internet bills, your life insurance payment could cost less than purchasing a coffee every morning. 

  1. I Am Young and Healthy

It is a common misconception that you don’t need life insurance if you are young and healthy. Things can change instantly and put you or your loved ones in a difficult financial situation. Additionally, life insurance for young adults is often less expensive because your health risks are usually lower. Compared to older adults, young adults typically receive a lower monthly rate and access to more life insurance options. 

  1. I Already Have an Estate Plan

Another common reason not to buy life insurance is already having an estate plan in place, but life insurance can play a major role in your estate planning. You can use life insurance to help your beneficiaries cover any of your final expenses such as funeral expenses, outstanding debt and taxes you have left unpaid. If you have multiple beneficiaries, life insurance can also help equalize your estate and assets between them. 

  1. I Don’t Think I Would Qualify

When people are disqualified from life insurance, it is typically because they fall in a high-risk category. Dangerous job professions and hobbies or health challenges play a key role in determining whether you qualify for life insurance. Even if you are at risk from being denied life insurance, there are ways you can improve your likelihood of coverage such as following your doctor’s orders and participating in safe activities. 

  1. The Varieties and Options Are Too Confusing

It is not your job to know everything about different types of life insurance. Very few people truly know everything there is to know about their coverage. By utilizing an experienced agent, you will have someone there to guide you through the process of looking at different life insurance options and find a policy that suits your needs. 

  1. The Process Is Intimidating

Most people don’t know why they need life insurance or how to approach getting a life insurance policy. This is another situation where a life insurance agent can help you through the process. Working with someone who is familiar with the industry will help ease the stress that is associated with finding a policy that works for you.  

Should You Buy Life Insurance?

The purpose of life insurance is to protect your family and prepare for the unexpected. Don't let these reasons hold you back from getting the coverage you need to protect what matters most. Contact your local Farm Bureau agent today to find a policy that fits your needs. 

Want to learn more?

Contact a local FBFS agent or advisor for answers personalized to you.