There are things about which parents and adults worry. For instance, they worry about the health of their family members, financial security and safety, and for the future. But it is always recommended that those families invest their hard earned money in the purchase of a term life insurance. People often don’t invest their money in a life insurance policy not because they don’t trust it, but simply because there is a lack of financial literacy and inadequate research on their part. According to a recent study conducted by LIMRA and Life Happens, as high as 65% of the total households did not purchase a life insurance policy, simply because they thought it was too expensive.
How much does a life insurance policy costs?
In order to get a fair idea about the true cost of a life insurance product, here is a list of 10 services or products for which you spend more than the cost of a premium for a term insurance, which is about $13 dollars a month for a healthy thirty year old.
- Alcohol- As per an estimate made by the Bureau of Labor Statistics, an average American consumer spends about 1% of his income on alcohol.
- Food- The National Resource Defense Council has reported that about $529 every year or approximately $44 every month is spent by the Americans on unnecessary meals and snacks.
- Tobacco- As much as about 14% of an average American’s income is spent towards the purchase of cigarettes.
- Membership in health club/gym- You may be spending as high as $30 for membership of a 24-hour Fitness club that often goes unused. The same could be instead spent for funding your term life insurance.
- Fashion- A pair of designer Jeans can cost you as high as $50 or maybe even more than that.
- Entertainment- Popcorn, movie tickets for a couple and a soft drink can total up to $25.
- Latest gadgets- Though it depends on which version of the gadget you are buying, an iPad, for instance, can cost up to $550, inclusive of the taxes, which is about 3 and a half years of the cost of premium payments.
- Cars- Spending less on your next purchase of car by about $3000, over a six year loan period and with 0% APR, you can save up to $40 a month or $500 every year.
- Games- Video games can cost you on an average of $50 for a new release. It makes sense to pay for your child’s financial security rather than paying for a video game.
- Electronics- A new 55” LED TV can cost about $800, but the same amount can be used for paying term life premiums for about five years.
Now you have a rough estimate of the money you are wasting on mundane items when the same could have been used to buy an insurance policy. It is time to consider taking a life insurance policy if you want a financially safe and secured future for your family. Contact our team of experienced Manatee County life insurance agents, today.
