The younger you are, the healthier you are likely to be. This means, that life insurance is less expensive at this point in your life.
A life insurance policy can help cover the expenses associated with funeral and burial costs. According to the National Funeral Directors Association, the average funeral in the United States is around $11,000. While this may be the last thing on your mind while you are in your 20's, it's important to have a plan in place so you don't leave the burden of a funeral to loved ones.
While federal loans will be canceled, if you took out any private loans, co-signers may become responsible for paying them back following your passing. Even if your spouse wasn’t a co-signer on the loan, if you live in a community property state, any debt you acquire during your marriage may become their responsibility.
If you own or are starting a small business, life insurance may also be a good idea. The funds from life insurance will help your business recuperate from financial losses that result from a death.
If you have specific questions about life insurance policies, contact a financial planner who can help you determine the amount of coverage necessary for your situation