Life Insurance: Let’s Separate the Facts From Fiction
Think it costs too much and is a hassle to get? You might be surprised by the reality.

The past two years have spurred a heightened awareness in families who have realized that they may not be as financially prepared for the future as they had hoped. According to the LIMRA and Life Happens 2022 Life Insurance Barometer, sixty-seven percent of Americans say that the pandemic has been a wake-up call for them to reevaluate their finances, and life insurance is among the top items on their financial health checklists.
We know that there is a substantial gap in coverage for many Americans, with 106 million adults saying they need life insurance or more of it. This can be due to typical procrastination or a misunderstanding of the cost and process of purchasing a policy. September is Life Insurance Awareness Month, a perfect time to build your knowledge and separate facts from fiction when it comes to this critical financial-protection tool.
Fiction: Life insurance costs too much.
From just $107.88 $24.99 for Kiplinger Personal Finance
Be a smarter, better informed investor.

Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Fact: Most people overestimate the cost of life insurance.
Nearly 80% of Insurance Barometer respondents overestimate the cost of a life insurance policy. The study confirms that the likelihood of owning life insurance is higher among older generations.
Thirty-five percent of Millennials say they do not own life insurance because it is too expensive, and 45% believe they would not qualify for coverage. Yet, young, healthy adults are actually the most likely to qualify and also secure the best rates. In reality, today’s tools allow you to more easily search for and find policy coverage that fits your budget. It’s OK to start small.
And anytime you work with a financial professional, you can evaluate your coverage. Over your lifetime, you can adjust your policy choices to meet changing needs.
Fiction: It’s too much of a hassle to buy life insurance.
Fact: Purchasing a life insurance policy is now faster than ever.
Technology advances have greatly simplified many life insurance purchases. In minutes, you can get estimates of coverage amounts and basic costs. In some cases, medical exams may not be necessary.
Prudential and other companies are working to enhance digital platforms and systems to make life insurance accessible to more people, with ease. You can often acquire coverage in days, not weeks.
Of course, more complicated planning scenarios and increased health risks may lengthen the process. But in those cases, that extra time assures you have the solution that best fits your needs.
Fiction: Life insurance benefits are for others, after you die.
Fact: Life insurance can offer benefits for you while you are alive.
In addition to providing a valuable death benefit for your loved ones, many life insurance policies offer cash value that you can use during your lifetime. Certain “living benefits” can help pay for anything from medical care to other personal expenses. Talk with a financial adviser to determine what works for you.
Fiction: I don’t really need to make my family rich when I die.
Fact: Planning ahead provides protection from the unexpected.
According to the Insurance Barometer study, 1 in 10 families reported that they would have financial issues by the end of the week if the primary income earner were to die.
In many cases, life insurance is about providing financial protection for your loved ones by replacing needed income. It can give you peace of mind for many circumstances. You choose how much your family will receive. Maybe that’s enough to help maintain their standard of living after you are gone, or it is enough to pay off a mortgage or outstanding loan. What matters most is that planning for the unexpected allows your family to manage financially in your absence.
Talking about end-of-life planning is never easy, and it can be uncomfortable. We can reimagine these difficult scenarios when we see life insurance for what it really is: a smart, easy and affordable way to replace income, save on final-expense taxes, provide funds, supplement retirement and help future generations have more financial security.
It’s the ultimate way of saying to your loved ones: “I love you, and I’ve got you.”
Take action today
Now that you know some of the facts vs. the fiction of life insurance, start taking action to ensure that you and your family have the life insurance coverage you need. Doing your own research or reaching out to a financial adviser is a great next step to bringing you closer to providing more financial security for those you care about the most.
The Prudential Insurance Company of America, Newark, NJ.
1063444-00001-00
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

Salene Hitchcock-Gear is president of Prudential Individual Life Insurance, a business unit of Prudential that offers competitive solutions to meet the needs of consumers through the manufacturing and distribution of a diverse portfolio of life insurance products. An insurance industry veteran with more than 30 years of experience, Hitchcock-Gear joined Prudential in 2017 as chief operating officer of Prudential Advisors, the Company’s national sales organization with more than 3,000 financial professionals, advisors and fee-based financial planners who offer clients a broad range of financial solutions. She became president of the Individual Life Insurance business in 2018.
-
How to Add Your Driver’s License to Apple Wallet
Turn your iPhone or Apple Watch into a digital ID — here’s where it works and how to set it up.
-
Taylor Swift Can Shake Off Wedding Costs — But Most Couples Can't: The Price of Getting Married in 2025
From engagement rings to bachelor parties, here's what it really costs to get married in 2025.
-
Here's Why Munis Aren't Just for Wealthy Investors Now
Buyers of all levels should be intrigued by municipal bonds' steep yield curve, strong credit fundamentals and yield levels offering an income buffer.
-
I'm a Financial Planning Pro: Do Your Family a Final Favor and Write Them a Love Letter
Specify your preferences in this personal document that shares your wishes on how you want to be remembered and celebrated. Your family will thank you for easing an emotional time.
-
The Future of Financial Advice Is Human: Gen Z Trusts Advisers, But AI Skills Matter
Graduates entering the workforce trust human advisers more than AI tools with their financial planning. But AI can still enhance the client/adviser relationship.
-
I'm a Wealth Adviser: If You're a DIY Investor, Don't Make These Five Mistakes
Even though you may feel confident because of easy access to investing information, you may be making mistakes that could compromise your long-term performance. Here's what you should know.
-
Building a Business That Lasts: The Critical Steps to Avoid Blunders
'Another Way' author David Whorton offers advice on how to build an 'evergreen' business that endures by avoiding common pitfalls that can lead to failure.
-
I'm a Financial Pro: Why You Shouldn't Put All Your Eggs in the Company Stock Basket
Limit exposure to your employer's stock, sell it periodically and maintain portfolio diversification to protect your wealth from unexpected events.
-
How Will the One Big Beautiful Bill Shape Your Legacy?
The One Big Beautiful Bill Act removes uncertainty over tax brackets and estate tax. Families should take time to review estate plans to take full advantage.
-
Should You Claim Social Security Early or Late? A Financial Adviser Weighs In
There isn't a wrong age to start claiming Social Security, but there are factors that everyone should consider to avoid leaving money on the table.