Whether you’re someone saving for retirement, a stay-at-home parent or a cosigner on a student loan, you may have a need for life insurance.
Yet you may feel held back by the expense of buying a life insurance policy. The good news: Life insurance probably costs a lot less than you think.
Check out the infographic below to learn more about the true cost of life insurance. To learn even more about affordable life insurance options and to get a quote, contact an insurance professional like an Erie Insurance Agent.
2015 Insurance Barometer Study: The True Cost of Life Insurance. 3 out of 4 people say they have a good understanding of life insurance. But do they, really? When it comes to cost… they don’t! When asked how much the yearly cost would be for a 20-year $250,000 level term life insurance policy for a healthy 30-year old, 80% of respondents overestimated the cost. Respondents guessed an average of $400 a year. Those under 25 – people who tend to pay the least for coverage – said they estimated cost at $600 a year. And one in four respondents thought it would be $1,000 a year or more.
But the true cost for that $250,000 policy is about $160 a year. That’s a little over 40 cents a day for $13 a month. Note: Life insurance quote is from Quick Life Center, quoted in April 2015.To put it into perspective, here’s what the cost of a $250,000 policy looks like compared with what many people spend per month. Life Insurance average per month is $13. Cell phone average is $61 a month according to New Street Research, The Wall Street Journal, March 9, 2014. Cable TV monthly cost is $64 according to Report on Cable Industry Prices, Federal Communications Commission, May 16, 2014. Coffee on the way to work costs an average of $80 a month and take out lunch costs $140 a month according to Accounting Principals’ Workonomix Survey, conducted by Braun Research, 2013. Trimming just a few dollars from any of these would make getting and affording life insurance a no-brainer. Learn more at www.lifehappens.org/baramoter. Sources: All data is from the 2015 Insurance Barometer Study by Life Happens and LIMRA, unless otherwise noted previously.