Life Insurance: What Is the Best Age to Buy Life Insurance?

In the United States, 54 percent of the population has life insurance. However, there are still 41 million Americans who say they need life insurance but do not have it.

Are you thinking about buying life insurance? Even if you are young, this guide to life insurance will help you decide when is the right time to buy a policy. So, keep reading to learn about the basics of life insurance!

In Your Twenties

Your twenties are the best time to get a life insurance policy since you are young and healthy, meaning you’ll get low rates.

Sadly, that’s also why most people under thirty don’t think about getting a policy. They feel like an illness or death is decades away, and life insurance is nonessential.

So, which policy should you choose in your twenties? One common option is term life insurance, which locks in the insurer’s low rates. You may be able to convert the policy into a permanent one later, which is valid as long as you pay the premiums.

In Your Thirties

Most people begin thinking about life insurance in their thirties, especially if they get married or start a family. They realize that they put their family at financial risk without a life insurance policy.

Some argue that your thirties are a better time to buy a life insurance policy than your twenties because you can likely afford a better policy, even if that means higher premiums.

Moreover, your rates will still be pretty low since you are young, so you can probably manage an additional policy, even if your company provides you with one. Finally, keep in mind that employee life insurance policies don’t always last a lifetime, especially if you change jobs.

In Your Forties

When you’re forty, life insurance premiums increase drastically. So if you are nearing forty or are already there, it’s time to act fast.

You may have employer-provided life insurance or smaller policies you bought when you were young, but these may not be enough if you have a family. Your best bet is to look for lower-level coverage life insurance policies, which shouldn’t be too expensive.

In Your Fifties and Beyond

Once you’ve reached fifty, buying life insurance tends to be costly, especially if you have health issues. However, it’s also the time in life when you need life insurance the most.

So, compare different policies and make room in your budget since it can leave you peace of mind that your family is financially secure. And, be sure to check out viatical settlement companies since these can provide you with the money you need to care for medical expenses should you develop a life-threatening illness.

Buying Life Insurance at Any Age

After reading this post, you know when to buy life insurance! Of course, buying life insurance is a good idea at any age, but the sooner, the better.

Before purchasing a policy, you should learn more about the different types of life insurance. And if you would like more advice on choosing life insurance, be sure to check out more of our helpful posts!