Coffee With Mike- Life Insurance For Young People

Life insurance for young people, I think, is pretty important. It's important because we're really trying to protect other people from assuming our debts, or from for falling into a lifestyle without our income, following into a lifestyle that we want them to avoid. In our thinking, that would be a catastrophe, and we always use life insurance or any type of insurance to avoid a catastrophe. 

When you've decided that this is something that you want to protect you, want to protect your wife and your children, for instance, your husband and your children. You want to protect your parents. You want to protect an organization. You want to do whatever it is you want to do, that if you are you die and you're no longer going to produce income for those people, for those organizations, you want to leave a lump sum amount of money that will help them avoid what you foresee could happen to them. You want them to avoid that, and you're willing to pay a premium to do it. 

When you think of it that way, it becomes a little bit more attractive as to why you would buy life insurance. It also becomes really time centric. It's really about, 'what are we trying to protect right now?' So, here we are in March 2021 when we're making this video, and I would be thinking about, 'what do I want to have happen for the rest of the year?' I'm not going to try to wonder what should I have in 2022, or 2023, or 2024. All I'm thinking about is, 'what do I need to do for this year. '

Maybe whatever I decide to do with life insurance this year requires that I buy a 10-year term. That's OK if that's the cheapest way for me to go, but just because I bought a 10-year term, does it mean I need to pay it for 10 years? I can drop it in 10 months if I wanted. The idea is, whatever vehicles you need to use to protect what you want to protect, protect who you want to protect, don't feel like you are cornered into some agreement for some length of time that you really are unsure about. No one has to make a long-term decision. 

What we want to make is a series of short-term decisions that can last for the long-term as we want it to last for the long-term. However long that is, we get it to that point and then we're done. My point for you is, don't get caught up in the mechanics of what an insurance company needs to offer you. Instead get caught up in the mechanics of what you want to protect, who you want to protect, and for how long you want to protect them. If you think it's only about this year, don't hesitate, still take care of this year. You can make another decision next year.