The Young Adult’s Guide to Buying Life Insurance: What You Need to Know

When you’re young and just starting out, life insurance may not be at the forefront of your mind. After all, you’re healthy, you have a long career ahead of you, and you’re not ready to start thinking about the end of your life. However, buying life insurance when you’re young can actually be a smart financial move. In this blog, we’ll explore what you should know about buying life insurance as a young adult.

Why Consider Life Insurance When You’re Young?

The main reason to consider life insurance when you’re young is to lock in a lower rate. Premiums for life insurance policies are determined by age, health, and lifestyle factors. The younger and healthier you are when you buy a policy, the lower your premiums will be. By purchasing a policy now, you can ensure that you have affordable coverage for years to come.

Choosing Which Type to Get

There are two main types of life insurance: term and permanent. Term life insurance provides coverage for a specific period of time, typically 10-30 years. It is often the most affordable option for young adults, as it provides coverage during the years when you’re likely to have the most financial obligations, such as a mortgage or student loans. Permanent life insurance, on the other hand, provides coverage for your entire life and includes a savings component. It can be more expensive, but it can also provide benefits such as tax-free withdrawals and the ability to borrow against the policy.

Getting Life Insurance Without a Medical Exam

Traditionally, life insurance companies require applicants to undergo a medical exam before issuing a policy. However, some companies now offer policies that don’t require a medical exam. These policies can be a good option for young adults who are in good health and don’t want to go through the hassle of a medical exam. However, they may be more expensive than policies that require a medical exam.

Determining How Much Coverage You Need

When determining how much life insurance coverage you need, consider your current and future financial obligations. This may include things like paying off a mortgage, covering the cost of your children’s education, and providing for your spouse or partner in the event of your death. As a general rule, financial experts recommend purchasing a policy that provides coverage of at least 10 times your annual income.

Choosing an Insurance Company

When choosing an insurance company, consider factors such as financial strength, customer service, and reputation. Look for a company with a strong financial rating from independent rating agencies, such as A.M. Best or Moody’s. Read reviews from customers to get a sense of the company’s customer service and responsiveness. And do some research on the company’s reputation in the industry.


Buying life insurance when you’re young can be a smart financial move. It can provide affordable coverage for years to come and can give you peace of mind knowing that your loved ones will be taken care of in the event of your death.

Get the Perfect Life Insurance Policy for Yourself with Premier Risk, LLC

To learn more about your options for life insurance as a young adult, contact us today. At Premier Risk, LLC, our experienced agents can help you choose the right life insurance policy for your needs and budget and can answer any questions you may have.