If a single person dies with lots of debt, then the creditors have to eat the cost. Having a small (term!) life insurance policy to cover funeral costs usually isn't a bad idea.
Universal/whole life insurance is a bad move at least 95% of the time. The policies are expensive, their underlying investments underperform, they permanently lock you into a particular insurance company, they are very difficult to compare among insurance companies, and they are notoriously expensive to get out of when you realize you've been ripped off.
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