Myths About Life Insurance – Myth #3: “Young People Don’t Need Life Insurance”

Financial Horizons: Insights for Building Wealth and Securing Your Legacy

By Dr. Jose G. Cardenas, Chief Tax Strategist at The C & R Group, LLC

If you think life insurance is only for people with families or mortgages, think again. One of the most common—and most costly—financial myths is that young adults don’t need life insurance. The truth? Waiting until later in life can be one of the biggest financial mistakes you make.

Let’s bust this myth wide open.

1. Youth = Lower Premiums and More Power

When you’re young, healthy, and statistically low-risk, insurance companies reward you with the lowest premiums you’ll ever qualify for.
Locking in coverage early means you’ll pay less over time—sometimes hundreds or even thousands less than if you wait until your 40s or 50s.

Think of it as securing your future financial advantage before life throws you a curveball. As a young policyholder, you’re leveraging your health and age into a discounted wealth-building tool.

2. Life Insurance Is a Wealth Tool, Not Just a Safety Net

This is where Indexed Universal Life (IUL) insurance changes the game. It’s not just about protection—it’s about accumulation.

With an IUL, a portion of your premium goes into a cash value account that grows tax-deferred, linked to market performance but insulated from market losses.
That means you can build tax-free wealth while still having the peace of mind that your loved ones—or future family—are protected.

In your 20s and 30s, that kind of compounding growth over decades can be extraordinary.

3. It Protects Against Life’s “What-Ifs”

Let’s be real—no one’s invincible. Illnesses, injuries, and unexpected losses happen to people of all ages.

Getting life insurance while you’re young ensures that, if something ever happens, you’ve already secured the financial protection your family—or future dependents—would need.
It also ensures that if your health changes later, you’re already covered under the best terms possible.

4. It’s the Foundation of a Smart Financial Plan

Life insurance for young adults is about building financial leverage. You can use your policy’s growing cash value later to:

• Fund a business venture 💼
• Pay for college or a first home 🏠
• Supplement your retirement tax-free 💰

At The C & R Group, we help clients integrate life insurance with tax-efficient wealth-building strategies so their money works harder, grows faster, and stays protected.

The Bottom Line

Waiting until you “need” life insurance means waiting until it costs more, offers less, and builds slower.
Start early, lock in the benefits, and let time do the heavy lifting for your wealth strategy.

👉 Read more insights: www.thecrgroupllc.com/blog
📅 Book your consultation: Book a consultation with Dr. Cardenas

About the Author

Dr. Jose G. Cardenas is a retired U.S. Army Finance Officer and the Chief Tax Strategist at The C & R Group, LLC. With a Doctorate in Business Administration and over 20 years of experience in financial strategy, tax planning, and life insurance, Dr. Cardenas helps individuals and business owners protect their wealth and build a legacy. Learn more at www.thecrgroupllc.com.

📌 Disclosure

This article is for educational and informational purposes only and is not intended to serve as personalized legal or investment advice. Dr. Jose G. Cardenas, DBA, provides tax advisory services through The C & R Group, LLC. Insurance strategies, including Indexed Universal Life (IUL) and annuity products, may be offered through his role as a licensed financial professional affiliated with Experior Financial Group.

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