Are you approaching retirement? Are you confused as to when you should stop paying your life insurance premiums? You are not alone. Many Americans who are entering retirement have questions about their life insurance policies.
It’s true that many people find life insurance unnecessary after retirement. After all, guaranteed income from retirement savings plans does not decrease if one spouse passes away. However, there are common circumstances that are important to consider before canceling your policy.
Will You Continue To Work?
Sometimes people plan to retire fully, but find that they miss working. More often, people realize they are unable to support their chosen lifestyle with their retirement savings and decide to continue part-time work or consulting. Either way, if you and your spouse rely on the extra income you earn while retired, it’s important to continue protecting yourself with life insurance.
Do You Help Support Your Spouse, Children, or Grandchildren?
There are a multitude of reasons that a retired person continues to provide financial support to another person. Your pension may be a major element of your spouse’s financial security. Having children later in life could leave you facing college expenses as you approach retirement age. Serious injury or illness of a loved one could lead to being a caregiver indefinitely. The death of a child could have you opening your home to your grandchildren.
If a loved one depends on your pension, Social Security, or other income payments that may be reduced or lost in the event of your death, life insurance continues to be a valuable investment.
Will Your Estate Be Subject To Significant Estate Taxes?
Families with large estates that do not have the liquid assets to cover the estate tax could be leaving family members with a significant burden. This could take the form of property or a business that you would like to remain in the family following your death. In these cases, a life insurance policy could be a vital part of your estate plan.
Talk With An Expert Today
The right life insurance coverage varies for each family and each individual. Let us help guide you in making the right life insurance decisions to ensure your family’s financial security. Call your BenefitSource insurance professional directly at (877) 215-5431 or email us to set up an appointment to discuss your life insurance policy today!
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