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Why You Need Life Insurance Even If No One Relies On Your Income



he need for life insurance is easy to see if you’re the primary wage-earner. A sudden loss of income impacts which bills can be paid and will be immediately felt by loved ones. It’s less easy to see the need for life insurance if you’re not the primary wage earner. What if you don’t have a spouse or children? What if no one relies on the income you make?

When considering life insurance, the most important question you need to ask is this: Will my untimely death financially impact someone in my life? At a minimum, consider who must pay for your final expenses and how that will happen. If you have a family that does not rely on your income, they could still be liable for paying education and medical debts, depending on your state. While your family may not feel an immediate loss of income without you, replacing your contribution to the household can be daunting and expensive. Along with final expenses and outstanding debts, the financial impact can be substantial.

Life insurance creates a safety net for everyone, even those who don’t have an income or don’t have anyone who relies on their income on a daily basis. Several expenses need to be covered whether or not you are around to pay them.



Funeral Expenses

Funeral expenses can be a major financial burden to your loved ones—especially if your death is unexpected. Funeral and burial costs can easily cost as much as $10,000. The median cost of a funeral in the US is $8,500 for burial and $6,000 for cremation. One of the most important things a life insurance policy can do is cover funeral costs so that your family doesn’t have major financial stress on top of the tragedy of your loss.



The Unpaid Work You Do

Running a household may not involve a paycheck, but it does have financial value. The work you do inside the home enhances your family’s quality of life, and if the worst happens, others can step in to keep your household running. Outsourcing those tasks, however, is costly and your spouse may not be able to step in to fill the gap. If you run the errands, clean the home, do the laundry, cook the meals and drive your family on a regular basis, it may be impossible for your family to maintain their routines and quality of life in your absence without significant funds. If you are the primary caregiver for your children, your absence is even more critical as an immediate childcare solution becomes necessary and childcare is often expensive.

If you take care of a family, even if you don’t earn an income, it’s vital that you have a life insurance policy to help your family make ends meet in the event of your death.



Medical Expenses

Even if you have good medical insurance, uncovered medical expenses can pile up if you have a short stay in a hospital. Those expenses drastically increase if you struggle with a long illness. A good life insurance policy can make immediate payouts that will minimize the burden to your loved ones of these unpaid medical bills. Spouses and children can be liable for these expenses even if your estate doesn’t cover them in some states. Ensure that you aren’t leaving unforeseen debts behind.



Loans and Other Debt

Private college loans, mortgages and other co-owned debt don’t disappear when you are gone. Your parents or other family members may be responsible for paying them off. A life insurance policy can alleviate the financial burden on your loved ones with immediate benefits after you pass.



If you’re not the primary wage earner in your family, or you are single and don’t have daily family expenses, it’s tempting to think you don’t need life insurance. But if something were to happen to you, your loved ones may be left with not only be a huge emotional burden, but a financial burden as well. Life insurance will provide protection for the uncertainties in life. It will bring you peace of mind, knowing that you didn’t leave a financial burden on your loved ones during an already difficult time of loss.


Life insurance will provide protection for the uncertainties in life. It will bring you peace of mind, knowing that you didn’t leave a financial burden on your loved ones during an already difficult time of loss.

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