Reasons why you should buy life insurance when you’re young

In Bangladesh, life insurance may not seem to be a priority when someone is young and doesn't have the responsibilities of a family. You might wonder why you need life insurance coverage, who it would benefit and how it might save you money later.

Here's why getting a life insurance policy now is a smart financial decision.

Life insurance premiums are based on your age and health

Getting covered by a life insurance policy can be easier while you're young and healthy. Bangladeshi insurance companies offer and price life insurance policies based on your age and health at the time you apply. Life insurers know the younger you are, the more likely it is you'll be around for many years.

"This makes insuring you less risky for them and cheaper for you — probably less expensive than you imagine."

Getting life insurance before experiencing unexpected health changes can be beneficial. Life insurers determine pricing on answers you give to questions about your health. These answers help life insurance companies determine the probability that you'll stay well and possess a low risk for them from business perspective.

It is tough to maintain your expenses as you grow older

Your expenses will inevitably grow as you get older and move forward with your career. Your budget will have to alter based on where you choose to live, if you buy a home and especially if you decide to get married and start a family.

With these changes happening in your life, your life insurance coverage should also grow to reflect these changes. If you buy life insurance early in your life, before these changes take over, it will most likely to cost less to adjust your policy as time goes on than it would to buy a new policy later in life. By taking advantage of lower premiums when you're younger, you'll be able to save money on insurance costs later in your life.

You may be able to obtain greater payout

As it is less expensive to buy a life insurance policy when you're younger, you may be able to obtain more benefit in term life insurance. Term insurance, as the name suggests, is a type of life insurance that provides coverage for a specific term at a fixed rate that will remain the same across the life of the policy. Term life policies tend to be more affordable than whole life insurance policies, delivering more against a small investment. MetLife Bangladesh has DPS super, Takaful DPS and many other life insurance policies in its portfolio, which can produce attractive return for you if you start early.

The primary purpose of life insurance is to protect your income and those who depend on it. As your life grows and changes, it’s important to make sure you’re covered every step of the way. Getting life insurance at an early age can set you up for bigger savings and better financial protection down the road.