Have You Outgrown Your Life Insurance Policy?

Life insurance can be invaluable, but it is easy to forget you have it, since you do not use it until a tragedy occurs. Is your policy, which you may have purchased years or even decades ago, still meeting your needs? If you do not know, it may be a good time to reevaluate your policy and make changes if necessary.

Life insurance is particularly important as we get older. We get married, we buy cars and homes, we have children, and we save for college. And we want to take care of our families if an accident or illness prevents us from giving them the financial support to which they have become accustomed.

But then our lives continue. Our children grow up, and we pay off our mortgages, we accumulate nest eggs, and we retire. And as we pass through those life stages, we still have the same life insurance policies. What should we do?

You may be tempted to let your policy lapse at this life stage. After all, the money you allocate to paying premiums could be used in other ways: to pay down debt, add to your nest egg, or invest in long-term care insurance, for example. But that may not be wise because life insurance can be useful throughout all life stages. Just because your children are grown, you have paid off your mortgage, or you are retired does not mean life insurance serves no purpose. Your loved ones could be affected by your death in myriad ways.

Ask yourself how the money from your life insurance might assist your loved ones if you pass away. You will likely come up with many ways, making it worth keeping your policy in effect.

Want to review your life insurance policy and see if changes are necessary? Please reach out to us. We would be happy to help.