The Almighty Dollar

Restoring some fiscal sanity in our -- negative savings rate -- lives

4.04.2006

You're never too young to buy life insurance

I found out one of my relative's cousins died last week from lung cancer. He was in his late 20s and never smoked. The family learned that his wife was pregnant during the same week he was diagnosed with cancer. Now three months along, she will have to go on without him.

The news broke my heart. It also made me realize how important it is to have life insurance, even for young couples. My husband and I purchased life insurance more than a year ago. We had discussed doing it right after our marriage, but laziness and home buying got in the way. Thankfully, we finally got our act together and did it. I can't tell you what peace of mind it brings to each of us.

When you are young and newly married, it is so easy to put off this task. You're healthy and have many other plans with your money. Although you vowed 'til death do you part, no one really wants to think about that!

As grim as it may sound, buying life insurance is one of the most thoughtful things you can do for your loved ones. Neither of my parents has life insurance, and that freaks me out. I try not to think about it and trust that we will be able to cope with the situation when it comes. They are just too old (and have pre-existing heath conditions) to consider buying any insurance now.

My brother and his wife have a small amount provided through her company, but it's certainly not enough to cover a big mortgage and daily expenses. He tells me that if something were to happen to either of them, the house would be sold and life would go on. If they have kids, he said he would reconsider.

Even though we don't have children, my husband thought of it differently. He said having life insurance brings him a sense of security, knowing that if he were to die, I wouldn't have to struggle with money while in mourning. He wanted me to have the option to pay our mortgage in full. Of course, I want the same things for him as well.

I don't know if my relative's cousin had life insurance. Considering their young ages, it's likely they didn't. Now with a baby on the way, my warmest thoughts are with the mother.