ATLANTA, February 10, 2017 – Approximately 68 percent of younger Americans claim they can’t buy live insurance due to competing financial priorities.
Similarly, according to a 2016 study by Lifehappens.org 64 percent of Americans are not buying life insurance because they think it is too expensive. Yet according to that same report they also tend to overestimate the price.
Individuals taking part in the study were asked how much a $250,000 term life policy would be for a healthy 30-year-old. Their median estimate was $400 a year: more than twice the actual cost of an average policy with that benefit, which is just $160 per year.
The Lifehappens study also showed that nearly half of consumers involved in the survey believed the cost of such a policy would be at least $500 a year. One in four thought it would cost at least $1,000 per year.
In fact, if you are a healthy individual in your 30s, you could be paying a premium as low as approximately $13.00 per month for a $250,000 term life policy with a 20-year duration.
To give you a wider perspective, I also ran quotes on the same type of policy for individuals in their 40s. Monthly premiums totaled about $16.00 per month.
In other words, in the aforementioned age brackets, you are looking at a life insurance premium of less that $17.00 per month to cover and protect your family in the event that you or your spouse were to die.
Today, not only do a great many younger individuals and families ignore or put off consideration of life insurance coverage. Making matters worse, most people don’t even know if their own parents have life insurance or how to talk to them about it.
In the end, costs for products and services frequently fail to track with the benefits derived from them. To give you some examples, let’s look at the following monthly subscriptions you’ve likely signed up for that aren’t nearly as important as life insurance.
Most of these are more expensive and some are a bit more affordable. But keep in mind that the true cost is in what’s covered as well.
And remember: If you die, none of these companies will be helping your family out with anything.
#1 Amazon Prime – $10.99/month
A recent report showed that Amazon is now in nearly half of all American households with a whopping 63 million U.S. subscribers. That’s over $100 annually just for the privilege of buying things and (if you have the equipment) watching second-run movies and TV shows.
#2 Netflix – $10.00/month
I am sure I don’t have to explain to you who or what Netflix is. With 49 million subscribers in the U.S. alone, you are probably one of them. Are you watching enough movies, re-runs and original series to justify the cost?
#3 Gamefly $19.99/month – $22.95/month
According to the Gamefly site, this company is basically the video game version of Netflix’ DVD service, recently re-named “DVD.com”. For the price of admission, Gamefly they will send video game rentals straight to your door.
#4 Apple Music $9.99 – $14.99/month
Apple Music is a music streaming service, created by Apple for use on their own devices as well as on other platforms. At roughly $180 per year, are you really listening to that much music?
#5 Xbox Live – $9.99/month
Xbox Live gives players the ability to play video games online against other players, they currently have 48 million subscribers.
#6 SONY Playstation Plus – $9.99/month
The SONY Playstation Plus is essentially the Playstation version of Xbox Live.
#7 Sirius XM – $14.99 – $18.99/month
This independent music and radio service might seem an odd choice given today’s technologies, but many still sign up for this rather expensive service.
#8 Crate Joy – $15.00 – $80.00/month
Cratejoy is a site where you can subscribe to a service sending you monthly boxes of your favorite things. These monthly boxes have different price points and are aimed at specific niches. Really?
#9 Cable TV Service packsages – $50.00 – $200.00/month
Nowadays, given the ever-increasing amount of entertainment choices, Americans don’t watch TV nearly as much as they used to. Yet, cord-cutters aside, they still seem content to pay large sums to access a great many channels they don’t ever watch. For example, I only look at the ID Channel, Create Channel and maybe HBO from time to time. As for the other 400 channels I have, they really aren’t needed.
As you go through this list, you’ll immediately note that most people will have more than one of these services, while some individuals might even have all of them. But at the end of the day, what are you getting for your money? None of these services will contribute to your peace of mind when it comes to protecting your family.
If this hits home, and if you’ve tried to get insurance coverage in the past but just hate the process of buying it, or simply want to look at some instant quotes, my blog post about how to get life insurance quotes with no phone calls from agents will help you to get started. Access the post at this link: simplyinsurance.co/blog.
If you’ve read today’s story, subscribe to any or all the above services, but no life insurance for your family, I urge you to get some quotes, do a little research, and resolve to get you and your family covered today.
Feel free to reach out to me for any questions you may have. Just drop me a line or comment in the comment section appearing at the bottom of this page.