5 Life Insurance Myths Busted

Newtown Advance (PA)

ERIE, Pa., Sept. 23, 2021 /PRNewswire/ - Life insurance. It's something that most people need, but a topic that no one wants to discuss, leading to many misconceptions.

To help you make sense of it all this National Life Insurance Awareness Month, Erie Insurance debunks five common myths.

1. I'm single; I don't need life insurance. Most people think life insurance is more necessary for married people than for singles. But even if you're single and don't have children, you may still leave behind loved ones who would have to pay your debts. For example, if you have a cosigner on a loan, he or she would be responsible to pay it back. Life insurance can provide peace of mind by potentially paying off any remaining debt. Or, if you want to leave money to a charity, life insurance can help ensure your wishes are carried out.

2. It's too expensive. Cost is one of the top reasons people don't purchase life insurance. According to the Insurance Barometer Study, 66% of respondents said it's too expensive. The same consumers overestimated the price by more than three times the actual cost. With Erie Family Life, a $250,000 life insurance policy could cost less than $15 a month. Millennials can get an even bigger break by purchasing while they're still young. Premiums are typically less expensive since they're generally healthier and have fewer assets.

3. My employer provides life insurance; I don't need my own. While it's great to have coverage through an employer, it often isn't enough. Plus, if you take another job, your policy may not be transferable.

4. I'm a stay-at-home parent. If you're not the breadwinner in your household, you may think your family doesn't depend on your income. Regardless of whether it's a mom or a dad, stay-at-home parents add to a family's bottom line in a big way. In addition to footing the bill for the mortgage, car and credit card and funding any college and retirement funds, the surviving spouse will likely need to pay for more childcare, buy more prepared meals and hire more household help. Luckily, even a small amount of life insurance can help in these sorts of situations-so no excuses about not being able to buy a big policy.

5. I don't have the time to research this or sign up. Your Erie Insurance agent can quickly walk you through the process to identify what you need and your options, as well as explain the terms. Think of your agent as a trusted partner who will keep an eye on how your policy is keeping up with your life. Plus, the application is quick and some don't require doctor's visits or complicated forms.

Bottom line: most people could benefit from life insurance, but it's not a one-size-fits-all scenario. The amount needed really depends on individual circumstances. To protect those who matter most, check with your Erie Insurance agent to make sure you get the right coverage.

About Erie Insurance

According to A.M. Best Company, Erie Insurance Group, based in Erie, Pennsylvania, is the 12th largest homeowners insurer, 13th largest automobile insurer and 13th largest commercial lines insurer in the United States based on direct premiums written. Founded in 1925, Erie Insurance is a Fortune 500 company and the 16th largest property/casualty insurer in the United States based on total lines net premium written. Rated A+ (Superior) by A.M. Best, ERIE has more than 6 million policies in force and operates in 12 states and the District of Columbia. News releases and more information are available on ERIE's website at www.erieinsurance.com.