Do you need life insurance even if you do not have a family?

The question often asked is whether individuals who have no families should buy life insurance policies and what are different types of life insurance. This is a valid question as there is no one to make a beneficiary. However, life insurance is a lot more than living some money for your family or loved ones.

When you die, there are always costs for the funeral and someone has to come up with the money, thus the need for a cheap life insurance policy. If there have been no financial arrangement, then the county just sends the body anywhere where they see fit and that may not be something that you would have wanted. If you have left someone else to look after your funeral arrangements, then that person more likely than not, will select something that is cheap and will save the rest of the money for themselves. Your body will probably end up in a simple wooden box with no vault or headstone. Your body will most likely to go to a cemetery that no one will ever visit. Whenever there is no money left to cover the funeral costs, many of the most cherished and traditional ceremonies are not conducted. So one of the biggest benefits of a term life insurance policy is to make sure that you get a decent funeral and burial ceremony.

Funeral costs are not trivial and can range anywhere from $7,000-$15,000. Moreover, inflation may increase the cost of a funeral by a few thousand dollars so make sure you have just the right amount of money left asides to pay for your funeral.

Most people seem to think that only family can be beneficiaries of a life insurance policy. While this is the traditional view, one has many more options with whom to leave the money. Some people have exceptional friends who may have done more for them than any family member. So look around and see if you have a friend whom you have trusted and who has been a faithful acquaintance throughout your life. You do not have to live your entire will to them; perhaps just enough to pay their rent or bills for one year and you can do this for a number of people. You can buy just enough life insurance that will cover your funeral costs and leave the rest for them.

Remember, when selecting a friend you need to have good judgment. It is always important to designate two people, just in case on drops out or dies prematurely. Choose a friend with whom you have had a great long lasting relationship. Never choose a beneficiary whom you have just known as in most cases the money ends up in the hands of the wrong person. If you ever decide to marry, you are free to change your beneficiary as your spouse and or children. There is no reason why your friend cannot be a beneficiary at the same time. If you decide not to marry, you are at liberty to live your money with your church, museum, art gallery, school, a library, a hospital, an orphanage, and handicapped children and so on.

No matter whom you choose as your beneficiary, sit down and discuss what you want done after your death and have it all in writing. Living money behind for members other than family usually means that you will also be living behind a charitable legacy for years to come.
Do you need life insurance even if you do not have a family? Do you need life insurance even if you do not have a family? Reviewed by Admin on June 22, 2019 Rating: 5

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