Turning 40? Here’s Why You Must Invest in a Term Insurance


Turning 40 is a significant moment in anyone’s life as it is when the nature of your responsibilities varies, and you cannot act so care-free like in your 20s or 30s. However, by the time you turn 40, you will have a comfortable job and stable source of income, children nearing their school education and looking forward to their college admissions, EMIs paid off promptly, and all necessities are taken care of precisely.

Now, imagine if some uncertain situations occur. How will they cope up? The family will have to go through a massive loss, both emotionally and financially, and it is one’s responsibility to ensure that they get through this disheartened time as comfortably as possible. It is never too late to start thinking of securing your family’s future, and a term life insurance policy is the most thoughtful way of doing it.

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Why Term Life Insurance in The 40s?

The 40s are that stage of life where our life earnings may keep increasing or already at a peak, debt payments might keep piling up, and long-term financial investments might seem the only option to ensure a peaceful and stable future. Most families might depend on an individual’s income to run their routine activities, and if something unfortunate happens, then it would put the family in a critical and stressful situation. 

Also, the 40s are the vulnerable point of life where every person starts the ageing process unless appropriately maintained. The person turning 40 will be responsible for looking after their own family (spouse and kids) and their parents who are going very old. The whole family will depend on them for all their requirements, and ensuring their safety is an essential responsibility on your part. This is where the term life insurance policy plays a significant role.

So, what is term life insurance? What does it do exactly? A term life insurance policy is similar to a life insurance plan that any person can buy in their name. The policyholder can choose the coverage amount, premium rate, and plan benefits suitable to their family, which would support the family. 

For example, in your 40s, the premiums could start adding up to a considerable cash value, and the family could receive a lump sum of money once the policy term matures. In addition, a term life insurance policy could bring the family financial security in case something unfortunate happens. However, it is best to go through the types of insurance policies before you decide on a specific plan. 

The Necessity Of Term Life Insurance Policy In The 40s

People at 40s will have many long-term debts like car loans, home loans, EMIs on any appliances, and other personal loans. The responsibilities are too high for any person in their 40s, and maintaining them becomes pretty challenging. 

In addition, you have to plan for your children’s higher education as many kids opt to study in a foreign country to obtain the highest degree of education and secure their future. The lifestyle and expenses in many countries are skyrocketing now, and it is imperative to plan for all these situations to fulfil your children’s dreams.

The additional major responsibilities of a person in the 40s are their parents’ medical care and retirement planning. The term life insurance policy will provide the beneficiary with a colossal sum amount, enabling the safe run of the family in the worst times. The health insurance and pension plans could save the family from extreme situations, but term life insurance will ensure the financial security of the entire family in all circumstances. 

Turning 40? Here’s Why You Must Invest in a Term Insurance

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Benefits Of Investing In A Term Life Insurance Policy In The 40s

  • The premium rates of the term life insurance policies increase with age, and the sooner you buy the plan, the higher the benefits.
  • The term life insurance policy will always remain affordable to anyone at any age because it only covers the risk and nothing else.
  • The policyholder can get the lowest premium rates of a term life insurance policy.
  • The insured member can select the term insurance coverage amount that will cover all the liabilities in the future like car loans, mortgages, and credit card debt and cause no burden to their family.
  • The policyholder can decrease the coverage amount if the liabilities are compensated over time, which can also reduce the premium rates for the term life insurance policy.
  • The modern term insurance plans are tailor-made for individuals to derive the maximum benefit upon maturity.

The term insurance policy is the finest solution to ensure financial security and a comfortable future for the entire family in the absence of the family’s sole breadwinner. A term insurance plan is crucial for families with massive debts, dependent on their kids, spouse living on pensions, or have to work post-retirement to provide a better future and financial safety for the whole family.

Besides, term insurance also provides tax exemptions as per the applicable Income Tax Act sections – which only means you will be saving more. So, get started with your search for term life insurance and secure the future of your loved ones!


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