If you think life insurance is only for wealthy people, you’re in for a big surprise. Life insurance is so important because it protects people who depend on you financially, if you die. It pays one or more beneficiaries as soon as you pass away so that they can pay expenses and replace your lost income.

One of the top reasons people who need life insurance don’t buy it is because they think they can’t afford it. But studies show that consumers actually overestimate how much they believe life insurance costs. With life insurance these six instances in life can be resolved.

1. You’re the Breadwinner
If you are the only person earning money to support your household, you need life insurance. Think about what would happen to your spouse or children if you were not alive. Would there be enough to pay for ongoing expenses like a mortgage, or rent?

2. You Co-signed for Debt
If you have debt in your name only, no one is responsible to pay it except you, even after you die. The money in your estate must be used to settle your debts and if there is not enough, creditors are generally out of luck.

But if you co-signed for debt with another person such as a credit card, mortgage, or student loan, that is another story. Anyone named on a joint account with you would be responsible for 100% of the debt if you die. So having life insurance to cover outstanding debt on joint accounts is very important.

3. You Take Care of Aging Parents
If you are single and have financially dependent parents, then you need a life policy to keep them secure if you are not capable of being around to care for them.

4. You Want to Leave Cash to Heirs
If you have multiple heirs, leaving cash from a life insurance benefit, instead of assets (like houses or cars), is an easy way to distribute wealth in the proportions you want. For example, if two children inherit a house that is paid for, one might want to keep it as a vacation home, but the other might need to sell it because he can’t afford the annual taxes and insurance.

5. You Have a Family Member with Special Needs
If you have a child or other family member with special needs, you may need permanent life insurance. This is a type of policy that covers your life no matter when you die and has a savings component.

6. You Want Your Children to Get a College Education
The cost of higher education rises every year and few students can graduate from college without going into debt. If you want to pay for a child’s private school or college education, life insurance is a surefire way to make sure it can happen, even if you’re not alive.