Although 54% of Americans have life insurance, most young people vastly overestimate the cost of a term life insurance premium, a survey by the Insurance Information Institute found.
Pollsters asked a group of millennials how much they thought the annual premium for term life insurance would cost for a 30-year-old non-smoker interested in a $ 250,000 benefit in the event of death or disability.
According to the study, 42% of the young people surveyed thought that the annual premium would exceed $ 1,000. 50% estimated that it would be around $ 500.
Those figures demonstrate the lack of awareness among millennials about how to take advantage of life insurance.
The reality is that most companies charge around $ 160 a year for life insurance under the aforementioned characteristics. That is $ 13 a month. The insured, in the event of death or accident resulting in permanent disability, would receive a benefit of $ 250,000.
Having term life insurance is totally advantageous for anyone, especially if they are young.