Do You Need Life Insurance During Retirement?

Nov 16, 2021 | 0 comments

You’re older and wiser. You’ve planned well and created the retirement that you want and need. Perhaps you’ve held onto your life insurance throughout your lifetime so far and are now wondering if you should continue to do so; it seems like it might be unnecessary now. Should you ditch your life insurance now that you are retired? Before you make this decision, there are a few key things to keep in mind.

It was easy to see life insurance as a benefit to you and your family when you were younger. You knew that the policy was in place to support your family if you died suddenly and left behind dependents and a mortgage to pay. But now, your kids are grown and your home is paid off. The risks seem lower. The key is remembering that it’s not only about those risks; it’s about who you leave behind and what they need.

Do your loved ones need the financial support that this type of policy can bring? For example, if you are older with a spouse, the policy could help to support your spouse when you die, providing compensation to meet specific needs such as long-term medical care.

What about those you could leave the funds to? You may not need to cover your dependents’ day-to-day care any longer, but you may wish to designate the funds to pay for your grandchild’s education instead. Or perhaps you have a favorite charity that could use your support. The funds can be designated to serve a wide range of goals you may have.

Furthermore, it can help to protect your estate. The right life insurance policy can be used to pay down debts as well as medical or healthcare costs left behind so your estate doesn’t suffer. If you want to be sure your home goes to your heir, having this policy in place can help to pay off any claims against that home.

Before you drop your life insurance plan, consider what it is and how it is working for you. Now, consider your loved ones. Do they still need it? If so, it may be wise to keep it in place long term.

Ask an agent for help today. Call I & E Insurance Agency at  732-295-5584 for more information on life insurance.