What Happens When You Die Without Life Insurance? 
If you die without life insurance , there are bills that will need to be paid from some source of funds . Funeral , cemetery , credit cards , and other debt will need to be settled . Mortgage or rent payments , utilities , child care - whatever your income contributed to before death - will go on for your spouse and/or dependents . You may have savings or investments now , but the question is , will they be there if there was a lengthy illness prior to death , or if other expenses had chipped away at those funds ? Life insurance is sure to be there , because life insurance does not pay out until death . When you die without life insurance , you are counting on things to work out as you planned . But , unfortunately , you wo n't be around to fix them if they do n't . 