Though it is commonly used flippantly by older generations to describe all young people, especially those who are arguably acting entitled, the term ‘millennials’ is actually more specific. The millennial generation is otherwise known as Generation Y, and technically refers to people born between the early 1980s and the mid-1990s.
Though the specific dates are hotly contested, millennials are dubbed thus as they were old enough to remember living through the turn of the millennium. As they have lived through such a huge change in history, coupled with all of the technological change which accompanied it, millennials have witnessed many things change in their lifetime.
Despite being stereotypically good with technology, one thing that often eludes millennials seems to be life insurance – probably due to limited resources and a lack of dependents. In fact, one study found that only 10% of millennials have the life insurance coverage they say they need, and millennials self-report a 78% shortfall in life insurance coverage.
Though you might not have thought about life insurance in your 20s or 30s, there is never a bad time to take out a policy. Therefore, here is the ultimate guide to life insurance for millennials.
Think past ‘today’
Though many of us millennials might be at the very beginning of our careers, only just starting to enter the housing market and settle down whilst some of our peers are still in full-time education, our needs and dependencies may change over time.
Therefore, it can be helpful to try and think past ‘today’ and think ahead. In a few decades’ time, for example, making sure that your income will be replaced or your debts will be repaid in the event that you die will be a more important financial commitment – so, why not start early.
Look for a policy that offers you benefits
Life insurance doesn’t always just cover you for if you die. For example, the YuLife insurance company offers many benefits alongside life insurance – such as shopping discounts, freebies, gift cards, a 24/7 virtual GP service and even mental health support for you and your family.
This not only offers you protection in the event of your death, it also rewards you for living your life, as these extras inspire wellbeing and provide preventive health benefits, thus supporting you in the present and the future.
Don’t just assume that it is ‘too expensive’
Though you might not realize the value of purchasing life insurance at this time, don’t just write it off as being ‘too expensive’ or a waste of money. If you look at it as an investment, it might actually save you some money in the long run.
Realistically, purchasing life insurance is generally going to be cheaper the sooner that you take it out. This is because the older you get, the more risk you are for the life insurance company, and so a life insurance for a healthy millennial will always be cheaper.
Get it while you’re young
Overall, though the ins and outs of life insurance policies may be confusing, one thing for certain is that it is best to get it while you are young. So, take advantage of your youth and give your family some financial protections in the future by taking out life insurance, even if you are only in your 30s.
Riam is a professional author and academic writer.