Throughout life’s many twists and turns, using life insurance to plan for the future and secure your family’s financial stability can be invaluable. Still, even if you’ve researched policies and dedicated extensive resources toward these efforts, constant vigilance is necessary to ensure your decisions and preparations remain sufficient. Understanding how and when you may need to adjust your coverage is critical.

When Should You Reassess Life Insurance?

There may be several key moments throughout your life when you may need to adjust or at least revisit your life insurance policies. Your needs regarding policy limits, coverage terms, cash value accrual and other insurance specifications can change drastically throughout the years or even due to one significant event. Consider potential changes after the following:

• Getting married—Your wedding day may be one of the happiest and most beautiful days of your life, but this change in marital status also includes inherent responsibilities. When it comes to life insurance, you must now ensure your coverage can help your spouse maintain a good quality of life even if you’re not there to help provide for them.

• Having a child—Adding new members to your family requires you to consider their future financial needs, especially since children may be fully dependent on you as a provider. Purchasing new policies or adjusting listed beneficiaries to include your children should be a top priority.

• Purchasing a home—Taking out a mortgage on your home may be the largest debt you ever accrue. While homeownership is a significant milestone, this outstanding debt could have difficult repercussions if your family is left to manage payments. Ensure your life insurance can help them manage any outstanding balance.

• Making career changes—Your life insurance needs are largely tied to your finances, including assets, income and debts. If you take a new, higher-paying job, your family may become accustomed to a new standard of living that may require additional coverage. Alternatively, if you choose to start your own business, the right life insurance can help facilitate passing it down to your children and protect investors.

We’re Here to Help

Contact Lupton & Luce in Riverhead, New York, today to learn more about life insurance options and ensure you maintain suitable coverage.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.