Six Types of People Who 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

When most people think of life insurance, they often associate it only with parents or older adults nearing retirement. But the truth is, life insurance is not just a one-size-fits-all solution reserved for the elderly. It's a strategic financial tool that plays a crucial role in protecting your legacy, income, and loved ones—regardless of your stage in life.

Today’s featured image highlights six categories of individuals who should seriously consider obtaining life insurance coverage. Let’s dive deeper into each group and why this protection is not just important—but essential.

1. Parents

Whether you're a stay-at-home parent or a dual-income household, your children rely on you not only emotionally, but financially. Life insurance ensures that, should the unexpected happen, there are funds to cover childcare, schooling, housing, and daily expenses. It's a way to preserve stability for your children’s future.

2. Single Mothers

As the sole provider for your household, single mothers face unique pressures. A life insurance policy can replace income, settle debts, and fund college savings for your children. It's not just about leaving money—it's about leaving behind a plan that protects your children’s dreams.

3. Students

While it may seem early, many college students take out private loans co-signed by their parents. If something were to happen to the student, those debts don’t disappear—they could fall to grieving family members. A small life insurance policy can help cover any financial obligations tied to student loans, medical bills, or final expenses.

4. Business Owners

If you're an entrepreneur, your life insurance isn’t just about personal protection—it’s also a critical tool for business continuity. Proceeds from a life policy can help your business stay afloat, buy out your share, cover payroll, or pay off business loans. It's a foundational part of any business succession strategy.

5. Caretakers

If you’re supporting elderly parents, a disabled child, or other dependents, your absence would create both an emotional and financial vacuum. A life insurance policy ensures that your loved ones continue receiving care, even if you’re no longer there to provide it yourself.

6. People with Mortgages

Your home is one of your biggest assets—and one of your largest debts. A life insurance policy can cover the remaining mortgage balance, allowing your family to remain in their home without worrying about how to make the next payment.

Life Insurance Isn’t Just About Death—It’s About Living with Peace of Mind

No matter which category you fall into, life insurance provides stability, predictability, and peace of mind. For many, it’s also a strategic part of tax planning, estate preservation, and wealth transfer. Indexed Universal Life (IUL) insurance, for instance, offers not only death benefit protection but also the opportunity to grow cash value tax-free, offering a powerful retirement planning tool.

Let’s talk about how to integrate life insurance into your overall wealth strategy.

👉 Book a consultation with Dr. Cardenas
👉 Read this article online at www.thecrgroupllc.com/blog

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.