In short

Premiums generally rise the longer you delay, and taking cover out younger gives protection before any health issues develop.
Even without dependants, someone will have to pay for your funeral.
Lenders usually expect life insurance on big purchases, and your own policy can be used instead of theirs.
If you have a family, it is worth considering whether they could stay in the home and meet your debts without cover.

Life insurance is a grudge purchase for many people. We all know that personal insurance plans are an important part of financial planning, but it’s morbid to think about our mortality. That’s the reason many Perth residents put off taking out life insurance as long as possible.

Some other common reasons for putting things off include:

It’s too pricey.
No dependents.
Too young.

Also read: What are the different types of life insurance?

These arguments do make sense on the surface. On closer inspection, they carry no water.

Why?

If you think that life insurance is expensive now, wait ten years and be shocked.
Will you never have a family? What about a cause that you’d like to support?
The younger you are when you take out your insurance the better. Lock in the price sooner rather than later. This early action provides protection if you develop a chronic ailment or become overweight later on.

Reasons Why Life Insurance is Important

When you’re young and single, you feel invincible. You’ve got no dependents, and so you don’t see any point in buying life cover. Your reluctance is understandable, but it’s time to overcome it.

If the recent Covid-19 crisis taught us anything, it’s that life’s unpredictable. You could die in the prime of your life on any given day.

You need life insurance now for several reasons:

The longer you delay, the more expensive premiums become. You’ll pay more over ten years as a result than the person who took their policy out young and paid for thirty years.
Lenders usually expect you to have life insurance when making big purchases. They’ll even offer you a policy. These policies are costly for what you’re getting. If you have your own insurance, you can cede that instead.
You might not have dependents, but someone is going to have to pay for your funeral costs. Do you want your family burdened with that?
If you do have a family, have you considered what the effect of your death will have on them? Will they be able to afford to stay in their home? Is there enough money in the estate for them after the executor pays the debts?

Related: Can you buy Life Insurance for a family member?

Nurses with a wheelchair in a hospital corridor

Ask Greg a Question About Life Insurance

Still confused? Don’t feel alone: insurance can be a very complex issue. How much is enough? Should you choose whole life or term life plan? Are there any gaps in the cover?

For the answers to all these questions and more, speak to Greg. He’s standing by to help you secure your family’s financial future and give you peace of mind.

Reviewed by Greg Maguire

Greg Maguire reviewed this article to make sure the information is accurate and reflects current insurance practice. It is general advice only and does not take your personal circumstances into account.

Greg Maguire is an Authorised Representative (No. 255354) of AD Advisory Services Pty Ltd, ABN 68 005 830 802, AFSL 237058.

Greg Maguire

Principal

Greg Maguire is the founder and principal of Absolute Insurance, a family-run Perth life insurance broker he runs with his wife Steph. Greg has spent more than 20 years helping Western Australian families and business owners protect what matters most, with life insurance, income protection, TPD and trauma cover from Australia's leading insurers.

Before insurance, Greg was a primary school teacher, and that same patient, one-to-one approach is how he still works today. He takes the time to understand your situation, explains your options in plain English, and stands beside you and your family if you ever need to claim.

Greg holds an Advanced Diploma of Financial Planning from Deakin University and a bachelor's degree from Edith Cowan University. He is an active member of the local community through the Chamber of Commerce and Industry WA and Baldivis Rotary.

Greg Maguire is an Authorised Representative (No. 255354) of AD Advisory Services Pty Ltd, ABN 68 005 830 802, AFSL 237058.

After putting it off for years, my wife and I finally bit the bullet and had Greg assist us in renewing our insurance policy’s. In doing so Greg worked professionally and diligently to find us the best policy. We would both strongly recommend his services.

Nick Ursulic

Greg was amazing to work with and really helped me receive the insurance I wanted for my financial protection when no others were able too. Absolutely fantastic!

Natasha Maitland

Greg has been absolutely amazing with his level of service provided to us for our life insurance and income protection needs. Nothing was too much trouble for him. Great communication skills, knew exactly what we were hoping to achieve and did everything in a very timely manner and made the service to us very personal. He listens and delivers what he promises. Truly grateful for his time and highly recommend his services.

Scott Rountree

Very happy with the service Greg Maguire at Absolute Insurance has provided. He took the time to understand our situation properly and worked hard to find cover that suited our needs and budget. His understanding of FIFO and mining-related roles made a real difference. Clear communication, responsive service and practical advice throughout. Happy to recommend.

Robert Keilar

Super happy with the insurances Greg set up for us and love supporting local businesses

Samantha P

I would absolutely recommend Greg’s services. Before working with him, I had a difficult time obtaining insurance due to complexities in my medical history. Greg guided me through the process from start to finish, acting as a liaison with the underwriters and helping ensure the necessary information and evidence were provided. Nothing ever seemed too complicated or too much trouble for him. I really appreciated his advice, persistence, and willingness to advocate on my behalf with the insurers. Thanks to his support, I was able to secure several policies with some exclusions but no premium loading, which was a much better outcome than I had expected. Thank you, Greg!

Jessica Scholle

Greg has helped us with our insurances for many years. Over that time he has always taken incredible care to ensure that he is suggesting really sensible and considerate options for our needs. Insurance is complicated, but Greg makes it so much easier.

Val Smith

My parents, my partner and I have been with Absolute Insurance for well over 20 years. Greg has been amazing and would highly recommend him to anyone that needs a trusted advisor.

Gregory Allen

We have had Greg’s support and guidance managing our Life Insurance Policies over many years. He has always sought the best options for us and has provided sound advice as our circumstances charged over time. We have always appreciated his flexibility and efficiency. It has been a pleasure doing business with him.

Philip O'Connor

From the start to the finish, Greg was a pleasure to deal with, very professional and most importantly found me and my family the best insurance cover to suit our needs, very happy with the service provided.

Craig

Is Life Insurance Worth the Cost?

Reasons Why Life Insurance is Important

Ask Greg a Question About Life Insurance

Reviewed by Greg Maguire

Related Services

Life Insurance Perth

Related Articles

How Much Is Life Insurance Australia

What Is Superannuation?

What Is The Best Age To Get Life Insurance