When Is The Best Time To Buy Life Insurance

It is always the right time to invest into insurance on your life.

"Fun is like life insurance; 

the older you get, 

the more it costs."

- Kin Hubbard

There are many benefits to buying life insurance young. Every year the cost of insurance increases a couple of dollars. When you buy a life insurance policy, you lock in the price at your current age and health status. The younger you buy, the cheaper the rate will be. The longer you have the policy, the larger the cash value and dividends grow. 

"Today is the oldest you've ever been, 

and the youngest you'll ever be again."

- Eleanor Roosevelt

While young, life insurance can be an excellent investment, an easy way to cover liabilities, and an insurance to leave behind a legacy for your family. As you get older, your liabilities decrease, as does your need for large policies. The need shifts more towards final expense and funeral coverage.

Ages 0-18

The best of the best time to begin a Whole Life policy is as a very young child. A $30,000 policy costs around $10.00 a month for a newborn baby. The same policy costs about $15.00 a month for a 10 year old. 

It's a good idea to get your child a whole life policy to set them up for their future. A child's whole life policy will cover funeral costs in case something were to happen, lock in a low cost that will never increase for their entire life, and leave them with a very large cash value they have many options with. 

Ages 18-65

The older you get, the more likely you are to acquire health problems. It's just one of those things in life. The more serious the health problem, the more expensive insurance premiums will become. They'll also most likely be graded. If you are a smoker the rates are much higher than if you are not. Some companies accept tobacco use such as snuff or a vape as non-smoker, so be sure you're getting the best rate for your situation.

During these years, you're likely accumulating assets and wealth and raising a family. These are all important things that need protection. If your family would be worse off if your income was cut off forever, you need life insurance. At age 30 a whole life policy for $50,000 will cost around $55.00 a month. At age 50, that same policy becomes $110 per month.

Ages 65+

Once you get older and are ready for retirement, it becomes even more important to make sure you have a whole life policy to cover your funeral expenses and leave behind a legacy for your beneficiary. This is the time when you have assets built up, your income becomes limited, and your liabilities have diminished significantly. 

Once you're part of this age group you should already have a whole life insurance policy in place. It's more likely that your health will take a seriously negative turn the older you get. This will increase your insurance premiums and place you in the graded category and give you a waiting period. At age 65 the monthly premium jumps to around $200 a month.

___

Purchasing a life insurance early will give you the best rates, a better chance at being accepted for the preferred level, and work as an investment for your retirement. If you purchase your whole life insurance early it will be easy to take the paid up option when you turn 65, stop paying your insurance premiums, and lock in place a face value for final expenses and leaving behind a legacy for your family. You have many options available to you. Think about when the best time to buy would be for you.