Shopping for life insurance and purchasing a life insurance policy can seem overwhelming and expensive, especially when you’re young, but it is possible to find affordable coverage. The cost of not having life insurance can be financially devastating to your loved ones, so making sure it’s part of your budget can pay off in the long run. Learn more about the top tips to budgeting for life insurance and how SelectQuote can help.
5 Tips on How to Budget for Life Insurance
Leaving yourself and your loved ones uninsured or letting your life insurance policy lapse due to a missed payment might cost you more money in the long run. One of the easiest ways to ensure this doesn’t happen is to buy life insurance sooner rather than later and make sure it’s part of your ongoing budget. Here are five tips to help you budget for life insurance.
1. Buying Life Insurance When You’re Young Saves Money
The younger and healthier you are, the greater chance you’ll have of locking in an affordable life insurance rate. While it can seem intimidating and feel like you may not have the financial means for yet another payment, buying life insurance in your 20s and 30s is ideal. At SelectQuote, we can help you compare types of life insurance coverage from some of the most trusted life insurance companies in the U.S. to see what your options are. To avoid a lapse in your policy, it’s crucial to make life insurance part of your monthly budget.
2. Define Your Financial Goals
Defining your short- and long-term financial goals can be helpful in determining the amount of life insurance coverage you need and how to adjust your budget. In addition to your needs for coverage, we will take into consideration how much you’ll be willing to spend each month or year when comparing life insurance coverage on your behalf.
3. Calculate Your Budget for Life Insurance
In order to create a budget that includes life insurance, you’ll want to determine how much life insurance coverage is right for you.
How much life insurance coverage do you need?
How much life insurance you need might look different than what others need, but it’s important to consider the loved ones in your life and any expenses they’d be responsible for if the unexpected were to happen to you. Our life insurance calculator can help you get started on figuring out how much coverage is right for you.
Find Affordable Coverage
Investing in life insurance can seem intimidating, but not only is it worth the peace of mind, it is often more affordable than you think. At SelectQuote, we’ll take into consideration any outstanding debts you may have, bills that would need to be paid following your passing, final expenses, and your budget when comparing policies to find the right coverage amount with the right carrier at the right price for you.
4. Shop Around for Life Insurance
Settling for the first cheap policy you find can be risky, as it might not provide adequate coverage. The best way to ensure you’re getting an affordable rate without sacrificing your coverage needs is by shopping around and comparing your options. At SelectQuote, we can do all of that work for you. In just minutes, we can compare policies and rates on your behalf to find the coverage that works with your budget for life insurance. The life insurance companies we work with are some of the most trusted in the industry.
5. Understand the Cost of Not Having Enough Life Insurance
It can be hard to think about, but the biggest risk of not having enough life insurance—or not having any—is that your loved ones will not have enough financial support in the event of your passing. Making room in your budget for life insurance can be beneficial to protecting your family financially.
Let SelectQuote Help You Find Affordable Life Insurance on a Budget
If you’re looking to start shopping for coverage, but are unsure how to budget for life insurance, let SelectQuote help. We’ll take the time to get to know your situation and compare coverage and rates in just minutes.