Close The Life Insurance Gap
Life insurance is an incredibly underrated form of protection and as a financial asset. And we know that it can be overwhelming at times, but Bequest is here to help close the life insurance gap!
To make it simple, here are 5 myths that we as women need to know about life insurance. Be the hero your loved ones know you are!
Myth #1 – I’m too young and it’s too expensive to buy life insurance
For the average twenty-something, life insurance may not be on top of your priority list. It’s one of those things that probably doesn’t cross your radar, but did you know that during your twenties or thirties is actually the perfect time to take out life insurance?
There are a few different factors that determine the cost of life insurance policies, but in general, the younger and healthier you are when you take out the policy, the cheaper it will be. Way cheaper!
Let me lay it out for you.
- Taking out a 40-year term, level pay-out for the max at £500,000 at 30 years old, saves you £27,500 compared to buying the same insurance at 40 years old.
- That’s £43/month compared to £99/month!
If you buy young, you’re likely to get a premium that is extremely affordable and manageable. There are no restrictions to purchasing for the maximum 40 years and for the maximum £500,000, so if you don’t need that right now that’s ok.
But as you gain more assets, or get married, have children etc. you can add on to your policy. Having a plan that is flexible and can increase with your financial responsibilities in the future is key. Your life changes, so we believe that your policy should as well. As we like to say, buy young and buy long!
Myth #2 – I’m pregnant and pregnant women can’t buy life insurance
Why of course you can!
Life insurance for expectant mothers is something you need to start thinking about. During your pregnancy and after the birth of your child, it can provide financial security for your remaining family members if something were to happen to you. While the thought is not a pleasant one, the right insurance policy can make a huge financial difference and provide a measure of comfort to your loved ones.
Applying early on in your pregnancy can help you get the best policy and rate with certain insurers. One key is to make sure you find a policy that best fits your growing family’s needs. Most complications you may experience during your pregnancy will be accepted and covered by an insurer.
We are very different from other insurance companies. We believe being pregnant shouldn’t be a hindrance in getting cover but a beautiful reason to get it. There are no restrictions for anyone who is pregnant looking for protection. Protecting your family is your #1 priority now and we are right there with you.
Myth #3 – I need a full medical to get life insurance
That is not true!
While some insurers still require a medical exam, they are not always necessary these days. Many newer companies realise that it’s pretty old school to ask for one, us included!
We want the process of life insurance to be simple for everyone and want to bridge the gap of those who can and cannot usually get it. We ask a few basic questions to help us understand you better and you get the best fit for you and your loved ones.
Myth #4 – I’m a stay at home parent, I don’t need life insurance
In the past, many men were seen as the main breadwinners while women stayed home to take care of the house and kids. Obviously, this is a massive overgeneralization, but this was true for many households. Now with women at the top of many industries and some men taking on the role of stay-at-home dad, your role in the family matters.
The value of your life and role in the family is so much more than income. With life insurance, however, we are forced to put a number to it. As a stay-at-home parent you might not get paid for your work, but if something were to happen to you, your family would struggle to hire someone to do all the things you do. A study from salary.com in 2019 determined stay-at-home mums clock an average of 94 hours a week, and make around £132,572 GBP salary a year (talk about being a boss lady! ). Whether mum or dad, you are a dietician, chef, housekeeper, and therapist. Childcare alone would cost at least £26,000 per year!
For this reason alone, all stay-at-home parents need insurance coverage that factors in replacing everything they do. A Bequest Life policy is there to take care of those you love when you are no longer able to take care of them yourself.
Myth #5 – I don’t have enough assets to get life insurance
You may not have dependents, such as children, and you may not have a mortgage. But does that mean you shouldn’t get life insurance? Definitely not!
For instance, you can use the payout to pay for a funeral. The average cost of a funeral is £4,321 which can be a huge burden for a family following a death. This can add to the stress and loss that they are already facing. Why not lift this financial burden for them and be covered in case of your death?
Also, to pay off debts. Don’t leave your family to pay off your debts. Some people think that debts die with the person, but that is not true. If the debts are joint, then the other person becomes liable for the debt and if they are in someone’s name alone, this will come out of the estate left behind. If there is no estate left behind, then they will have to pay out of pocket for this. While a mortgage is a great example of a debt, this would include school or credit debts as well.
It can also be a new source of wealth for your family. There are certain things to think about, such as putting the money into a trust in your will and Inheritance Tax. With the right planning, your family can use the policy payout to cover costs and put it to work building generational wealth. Our will writing estate planner JPEP can definitely help you assess your options and make the best decision for you and your loved ones. ✍️
We realise that the insurance sector is incredibly out of date and needs modernizing. It is 300 years old and 94 years out of date. So, not only have we created an amazing online life insurance product, but we have provided our customers with some incredibly innovative products that match up with our ever-changing world.
At Bequest, we think that when it comes to life insurance, there’s no time like the present to secure your loved one’s future and wellbeing. Our simple platform means that you can get a free life insurance quote in less than 15 minutes. Getting life insurance today is not just to help yourself, but is there to protect your loved ones if the worst were to happen.
Guest Author Kaitlyn Fleming – In Partnership with Bequest
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