Does somebody depend on you? Do you have young kids or a spouse or significant other that depends on you financially? What would happen to your family in the event of your untimely demise?
Insurance industry research group LIMRA reports that a third of American households have no life insurance to provide for kids in the event of an income earner's death. That's a real stunner. Overall, ownership of life insurance policies is at a 50-year low. Now not everybody needs it, but if you have kids you need it.
How to buy level term life insurance
I suggest you buy level term insurance, which is extremely affordable. As syndicated financial columnist Greg Karp points out, a $250,000 policy for a 35-year-old man prices out around $3 a week.
Level term insurance only provides a death benefit. It does not have a savings or investing component. It's like car insurance for your life, but instead of buying it annually or in 6 month increments, you buy it for 20 or 30 years and the premium stays the same during the life of the policy.
Shopping for level term coverage is easy on the Internet. You can comparison shop for quotes at any of a number of sites like 1stOptionInsurance.com, Insure.com, AccuQuote.com, and QualityTermLife.com. By shopping online, you avoid an insurance salesperson trying to up-sell you from level term coverage to whole life.
I also want you to buy only from companies that are rated A++ by AMBest.com. Most comparison shopping sites will show you the A.M. Best rating next to the quote.
When it comes to the question of how much you should buy, people can get crazy with all kinds of complicated formulas. I say simply that you should buy six to ten times your annual income.
You can get this going right now, plus you'll get a free physical to boot! Don't intend to do it later. I want you to do it now and protect your loved ones.