In our 20s the last thing anyone wants to think about is getting ill or, god forbid, worse. Although we still feel like we live care-free lives and have no responsibilities, the reality is that we are now financially independent and this comes with certain responsibility not only to ourselves but to others. If you have any loans, a house, significant other or children, you should be looking at life insurance.
Today, we prioritize our technology and our pets, taking out policies to cover loss and damage to our phone and ensuring vets bills are covered for our furry friends. These are generally the first considerations when thinking about insurance, but why are we not considering ourselves? The main reason is that we don’t get educated to the importance of personal insurance, if you get ill and can’t work, you will most likely seek additional help from your parents or a home care service, which could be costly. Having insurance will absorb some of this financial burden and avoid eating into savings. The mind-set in the UK is also hindered by the NHS, because we have our healthcare provided the financial implications of becoming ill aren’t something we would consider an issue, our initial care is covered and we tend not to think about the ripple effect that could be caused due to illness. Potentially having to pay out of a new phone or an operation for man’s best friend is worrying and costly, thus insurance is an instant thought.
Ever wondered what would happen if you couldn’t work because you fell ill? Or if your partner had to quit their job to stay home and look after you? Ever wondered what would happen to your mortgage without your income? And what if you don’t have savings or a family that could help you out? Taking out life insurance removes the concern of finance from this equation, becoming ill can be stressful enough without adding the potential loss of your home and mounting debt on top of that.
What types on insurance are there? You should always seek professional advice before taking out insurance, a professional will evaluate and assess your personal situation and find a policy that meets your requirements. Purchasing a policy that isn’t right for you could potentially affect your ability to claim and waste your time and money in the process. The type of insurance you need will completely be based on your own circumstances and what you’d like to gain from the policy. If you’re interested in ensuring you get the best medical care available to you, critical illness might be more suitable and allow you to cover the costs of private medical attention. If you’re looking to protect your mortgage or any outgoings that could continue if you should have to give up work, income protection, mortgage protection or family income benefit protection might be more suitable for your needs.
Taking out insurance in your 20s is cheap, with some policies costing as little as £5 a month. As you get older your risk increases so an insurer will prejudge you on your age, if you’ve had a policy since a young age, you are more likely to keep your low premium for longer due to no changes in your health and possibly your loyalty to the company.
If you’d like to find out more and potentially seek advice on the matter, please contact us on 01752 207070 or email via email@example.com