Is there any benefit to purchasing life insurance if you intend to stay single? (buying, income)

[MinivanDriver]

Not really.

I did when I was single. But that was because my father left my mother penniless, forcing her to scrounge for every dime.

[MI-Roger]

Someone will need to make the final arrangements after your demise. A small policy to cover those costs is all you need, and maybe not even that.

[leastprime]

We bought a term policy from ALW's successor company for our 17 yo son, as he was heading off to high price college. , 2002. Super preferred status, at IIRC for less than $1.00/thousand. About $360/year, $400k (?). He pays, We own the policy. Tuition at that time was ~$32K/yr plus R&B. We were borrowing $32k/year @2% to pay for college. Good arbitrage and cheap call option. The LI was <1% of cost of attendance. I was afraid that he was going to pick up some bad habits at residential private university. Once acceptable at preferred rates, his rate is maintained even at renewals.

Still have the policy. I think it's up to $50/mn from increased coverage. He's still single, still super preferred. But this expense is now < half of 1% of his salary. $50/mn is not going to impact his future retirement or current discretionary spending.

[ABQ2015]

I got about $100K term life insurance through my employer when I first started working with my mother as the beneficiary. She was living okay on her pension but had nothing else so I thought the extra money might come in handy and could also be used for my funeral costs. But once my 401k built up, I canceled the policy.

[klaucka]

Originally Posted by Crashj007

^^ +1 on every point.
IF YOU MUST: Search on line for cheapest possible 10 year term to get the parents off your back. Should not spend over $C50/month.

I say this as someone who has a great parent, no way they should be pushing you towards any kind of policy. I do not know where you work, but if at some point you end up working at a mid to large corporation many offer 2x-5x yearly salary poicies at practically free prices, along with separate Long Term Care and Disability policies. I am in my 40’s and my husband in 50’s, both working. I have two stepchildren, now out of college and in the workforce. My husbands term policy expired a few years ago and we have not renewed since we are closing in on retirement age (we hope) and have double-downed on other investments and 401k’s which would provide the income the remaining spouse would need if one of us dies. We own 2 homes and do not see any benefit at all from insurance wrt guaranteeing those mortgages. I never considered a separate policy outside of what my work provided when I was single. I had enough with savings, stock, 401k, home equity to take care of my burial and care for my beloved pets.

I just don’t see the benefit of insurance for single people, or even those with grown children and nearing retirement.

[raisins99]

No reason to have it and no reason to leave money behind to pay for burial or even cremation Donate your body to science, donate what organs are allowed by whatever science community takes your dead body. If someone wants to bury or cremate you when you die, they should shell out that expense. Funerals are for the living, if they decide they want that sort of thing and for whatever superstitious reason decide they need a body or ashes there to do it, then they can pay for it. I've told my family that if my body can't be donated, then just don't claim it if they don't want to shell out the expense. (although, tbf, in my situation I do have burial benefits as i'm a disabled vet, but i don't tell my family any of this. not their business).

[SportyandMisty]

Originally Posted by vanizorc

I want to arm myself with more counter-arguments in case they persist.)

“No.” Practice saying “No.”

“No” is a complete sentence. It requires no explanation or elaboration.

[mathjak107]

except ,when used as a double negative as in " NO-DON'T STOP "

[Chaofan]

Originally Posted by vanizorc

Thanks - yep, I have read lots about life insurance being a waste of money if you don't and never will have dependents. The only argument for purchasing it in my situation would be the burial/funeral costs if I happen to die, but I didn't want to shell out $160/month for just that! So thanks for letting me know that it's possible to purchase a separate "burial policy" that isn't a life insurance policy.

(Kinda off-topic, but this might shed some light: my controlling/abusive parents are trying to force me to purchase life insurance with them as the beneficiaries. They quoted me $160/month, which is where the above figure came from. I told them I don't want to purchase it as it would be financially detrimental to me. They are currently throwing a tantrum about it. I want to arm myself with more counter-arguments in case they persist.)

You're 27. They can't make you do something you don't want to do. Just tell them you won't do it. Also, you don't owe them an explanation. Just tell them you won't do it, then stop talking. Any explanation would only give them an opening for rebuttal and continued nagging. Just keep refusing to do it and refusing to talk about it.


Also, if they do purchase a policy on you that they pay for, I'd recommend watching your back. (Just kidding, sort of).


You might be better off in the long run getting as far away from them as you can. It could relieve a lot of the stress your parents are likely causing you. For all you know, they could purchase a policy on you themselves and then start complaining because you're still alive. (Again, kidding--sort of).

[TaxPhd]

Originally Posted by mathjak107

except ,when used as a double negative as in " no-don't stop "

lol!