Why Your 20s Are the Best Time to Buy Life Insurance

“I’m 27, just got my first job, and my family wants me to buy life insurance now. What should I do?”

A question I see very often - especially from young professionals starting their careers.

Let’s break it down clearly and practically.

𝗦𝗵𝗼𝘂𝗹𝗱 𝘆𝗼𝘂 𝗯𝘂𝘆 𝗟𝗶𝗳𝗲 𝗜𝗻𝘀𝘂𝗿𝗮𝗻𝗰𝗲 𝗮𝘁 𝟮𝟳? 𝗧𝗵𝗲 𝗧𝗿𝘂𝘁𝗵 𝗡𝗼 𝗼𝗻𝗲 𝘁𝗲𝗹𝗹𝘀 𝘆𝗼𝘂

You should ideally buy life insurance the moment you start earning — but only if you meet certain eligibility criteria.

Insurance companies don’t issue term plans simply because you want one. They look at multiple factors:

𝟭. 𝗠𝗶𝗻𝗶𝗺𝘂𝗺 𝗜𝗻𝗰𝗼𝗺𝗲 𝗥𝗲𝗾𝘂𝗶𝗿𝗲𝗺𝗲𝗻𝘁

Your annual income must meet the insurer’s minimum criteria:

• At least ₹𝟱 𝗹𝗮𝗸𝗵 𝗽𝗲𝗿 𝘆𝗲𝗮𝗿,

• Or ₹𝟭𝟬 𝗹𝗮𝗸𝗵 𝗽𝗲𝗿 𝘆𝗲𝗮𝗿 if you live in a non-preferred or rural pin code.

Why? Because insurers classify locations as preferred, standard, or high-risk (fraud-prone) pin codes.

𝟮. 𝗘𝗱𝘂𝗰𝗮𝘁𝗶𝗼𝗻 𝗖𝗿𝗶𝘁𝗲𝗿𝗶𝗮

If you are 𝗻𝗼𝘁 𝗮 𝗴𝗿𝗮𝗱𝘂𝗮𝘁𝗲, most insurers require a higher income band to maintain eligibility.

𝟯. 𝗣𝗿𝗼𝗳𝗲𝘀𝘀𝗶𝗼𝗻-𝗕𝗮𝘀𝗲𝗱 𝗥𝗶𝘀𝗸

Your profession matters:

• Defence

• Aviation

• High-risk adventure roles

• Hazardous jobs

All require additional risk assessment forms. Premiums may be 10 to 30 percent higher, or the proposal could be rejected.

𝗪𝗵𝘆 𝗕𝘂𝘆𝗶𝗻𝗴 𝗮𝘁 𝟮𝟳 𝗜𝘀 𝗦𝗺𝗮𝗿𝘁

When you’re young:

• Your health risk is low

• Your premium is the lowest you will ever pay

• And the best part —

𝗬𝗼𝘂𝗿 𝗽𝗿𝗲𝗺𝗶𝘂𝗺 𝘀𝘁𝗮𝘆𝘀 𝗳𝗶𝘅𝗲𝗱 𝗳𝗼𝗿 𝘁𝗵𝗲 𝗲𝗻𝘁𝗶𝗿𝗲 𝗱𝘂𝗿𝗮𝘁𝗶𝗼𝗻 𝗼𝗳 𝘆𝗼𝘂𝗿 𝗽𝗼𝗹𝗶𝗰𝘆.

If you buy a ₹1 crore cover at 27 for ₹25,000/year,

you will pay ₹25,000 every year till age 85.

If you buy the SAME policy at 45, the premium may be ₹50,000–₹60,000 or higher.

What People Often Miss: The Truth About Disclosure

Every insurance form asks:

• Do you smoke?

• Do you drink?

• Do you engage in adventure sports?

• Do you fly aircraft?

• Are you in a hazardous profession?

Most people don’t fill these correctly — often unintentionally — because they buy policies on their own without guidance.

And this is where claims get rejected.

Insurance companies investigate all early claims, especially if death happens within the first 12 months.

If they find incorrect information, the claim can be denied.

The whole purpose of insurance — to protect your family — gets defeated.

𝗦𝗼, 𝗪𝗵𝗮𝘁 𝗦𝗵𝗼𝘂𝗹𝗱 𝗮 𝟮𝟳-𝗬𝗲𝗮𝗿-𝗢𝗹𝗱 𝗗𝗼?

If you are earning, meet the income criteria, and your pin code is acceptable — you should absolutely buy term insurance early.

You’ll lock in:

• Lower premiums

• Long-term protection

• Better eligibility

• Stronger coverage options

Your future self (and your family) will thank you.

Final Thought

Life insurance isn’t bought because you’re old.

It’s bought because you’re responsible.

If you want help evaluating whether you’re eligible, how much coverage you need, or which policy fits you best, I’m happy to guide you.

Reply to this email or DM me — let’s make sure you secure the right protection at the right time.