According to the 2019 Insurance Barometer Study (Life Happens/LIMRA), only 57 percent of American households have life insurance — yet 40 percent of those without it say they would immediately struggle to pay living expenses if their primary wage earner died.

In other words, most people understand the need for life insurance. So why are so many households underinsured?

Let’s break down some common misconceptions about life insurance.

Myth: I don’t need life insurance.

Truth: Life insurance has many, many uses — uses that most people could benefit from. It can cover bills, pay for funeral costs, replace income in a household, serve as an inheritance for a loved one, fund education goals for a child, provide an important and sizable donation to a charitable organization and so much more.

Myth: It’s too expensive.

Truth: Not really. Many people can be insured for the price of a daily cup of coffee.

Myth: I can always get it later.

Truth: Famous last words, and too often untrue. Age and health can make it tough to get the coverage you want. You may develop a condition that makes you uninsurable — or worse, you may fall victim to a tragic accident.

Myth: I’m too young.

Truth: No one’s too young for life insurance. In fact, the younger and healthier you are, the easier it is to lock in coverage at a great rate – and stay covered. It’s called insurability.

Your turn: Do you have enough coverage? When was the last time you checked?

September is Life Insurance Awareness Month, a nationwide campaign created in 2004 by Life Happens. Life Happens is an organization dedicated to educating consumers on financial products and topics.

To review your financial plan, contact Lauren O’Reilly, FIC, CFFM, Managing Partner at 603-733-6526 or lauren.oreilly@mwarep.org and schedule a free life insurance analysis with no obligation. Or, find general life insurance information and a planning calculator at modernwoodmen.org. Modern Woodmen, founded in 1883 as a fraternal benefit society, supports members, families and communities with a blend of financial services, fraternal benefits and local-impact opportunities.

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