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But I'm Single, Why Do I Need Life Insurance?

Many people think you have to be married with children to need life insurance. As a single person, you should think twice before you dismiss it. You may not have an immediate need for it, but what about your future?

Would you like to marry and start a family some day? Will there be a time when others will rely on you financially? Purchasing life insurance at a young age when you're in good health locks in coverage at a lower premium and ensures you will have insurance to help you protect your financial future.

A First Step

If you can't afford to purchase a whole life policy, a term policy will help you keep costs down and you can upgrade to a whole life policy in the future. Should you choose to upgrade at a later time, the new whole life premiums will be based on your health at the time you purchased the term policy, regardless of your health at the time you upgrade.

While there are many factors to think through with regard to your short- and long-term financial needs and goals, talking with a financial representative can help. A trusted representative can help you decide what kind of insurance is best for you and how much you may need in order to achieve financial security in the long run.

A Future Nest Egg or Emergency Fund

Assume a policy is purchased on a child in perfect health. At adulthood, the accumulated cash value of a permanent life insurance policy can be substantial.

Take for example, a policy issued on a healthy baby boy 18 years ago with an original face amount of $100,000 with an annual premium of $598. Today, that policy's face amount would have grown to $157,861 with a cash value of $14,775* College costs, a wedding, or a first home purchase -- all items where a potential financial resource could come in handy.

Life insurance is one way to help you manage some of life's risks and is an important part of a sound financial solution. The financial goals you have for today may be simple and few, but keeping the future in mind can help you reach the financial goals of a lifetime.

*Based on an actual NN 65 Life policy issued by Northwestern Mutual in 1991, male age 0, select, all premiums paid in cash, dividends used to purchase paid-up additions, 2008 dividend scale interest rate. Dividends are not guaranteed. The dividend rate is reviewed annually and subject to change. By surrendering or borrowing part of a policy's cash value, the death benefit and cash value will be affected.