Many people believe there is no reason to continue carrying life insurance later in life, but there are reasons to keep a policy alive even in retirement.
You are still caring for a child. Some children have greater needs than others, even in adulthood. Maybe the child is disabled; maybe he or she wants to return to school. If your child or grandchild needs support, you may want to consider coverage that is sufficient to pay for those expenses.
You are still working. Many retirees continue to work part-time during retirement. Others stop working, then get bored, take a part-time job, and come to rely on that income. If you fall into one of these situations (or think you could), you may want to protect your loved ones from the loss of that part-time income if you die.
You are in debt. If you are still paying off loans (from mortgages, credit cards, or failed business ventures, for example), you may want to consider a term life insurance policy that will cover the period until the loans are paid off. Be sure you have just enough coverage to eliminate your debt.
You are leaving a charitable legacy. Some people buy life insurance for the purpose of leaving a charitable legacy. For example, instead of making small annual donations to your college, you might buy a significant life insurance policy with the equivalent of those annual donations and make the charity the beneficiary.
You are estate planning. Proceeds from a life insurance policy can be an immediate source of cash for your heirs. That’s important because it allows them to settle your funeral expenses and pay any estate taxes due without having to sell assets, such as property.
We can help you determine if you need life insurance. Please reach out to us today to discuss your option.