If you have someone depending on you for financial support, then you need life insurance. Insurance can provide cash to your family at your death. It can replace your income and help meet the family's daily living expenses as well as mortgage payments and college expenses. Another benefit of life insurance is that there are no federal income taxes on the benefits.
Most people need life insurance. Think about what would happen to your loved ones financially if you died tomorrow. How would they meet their expenses?
Would money be available to pay funeral costs, medical bills, taxes, debts, attorney fees, etc.? Could they pay mortgage, car payments, utilities, food, clothing and other expenses? How would they meet long term goals? Would your spouse be able to save enough money for college costs or retirement?
No matter what your age, consider whether or not life insurance should fit into your financial plans. If you are in a two-income family, could the family maintain their standard of living if you died suddenly? If you are a single parent it is especially important to safeguard your children's financial future. For those of you that do not earn a salary, this does not mean that you do not contribute financially to your family. Would your spouse be able to afford to pay someone to do what you do for your family? Some studies have estimated the value of your services at over $40,000 per year.
As you get older you may feel that you no longer have a need for life insurance. If you died today, your spouse will still have to meet daily living expenses for possibly 10 to 30 years. Would your financial situation allow your spouse to maintain his/her current standard of living? Would you be able to pass on something to your children or grandchildren?