As a person who isn't old, lives below his means, and doesn't have children, I don't see the problem here. From my perspective, life insurance is nothing but a big scam.
I don't anticipate dying any time soon, and if I do, I don't have any younger heirs. If I want to build wealth, I can do a lot better with index funds and mutual funds.
Honestly, I just don't see the point of life insurance at all, unless someone has a family with children and doesn't have any significant wealth accumulated.
I think most people have a very minimal amount of capital accumulated. Life insurance exists to help their family not starve if they unexpectedly die. Its opt in which totally makes sense to me. I pay for it because it costs basically nothing for me as a healthy young person and it would provide a nice windfall for my girlfriend if for example my plane fell out of the sky.
We have survivors' benefits from Social Security in the US. The logical thing to do, from my perspective, would be to make the existing government program designed to insure everyone cover people sufficiently. Given that baseline, the market for life insurance doesn't matter so much.
Honestly, I just don't see the point of life insurance at all, unless someone has a family with children and doesn't have any significant wealth accumulated.
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