Whether by our own design or completely unexpected, things happen. Life isn’t a straight broad and paved road. Instead, life is full of twists and turns. That's why it is important to find the right insurance plans to transfer the risk of the unexpected and help secure ourselves and our loved ones.
As major life events happen, our financial needs change. As needs change, so should your amount of insurance coverage. Here are five of the most common life events that should prompt you to reevaluate your life insurance.
When you were single, you may not have thought much about life insurance. But now that you’re getting married, your spouse may depend on your income. If one of you should die, the other spouse may need to rely on life insurance benefits to meet expenses and pay off debts.
Whether it is your first child or your third, you’ll need to update your life insurance to include your children as beneficiaries. You may want to consider insuring your children as well. Should there ever be a change in their health, having coverage on them early will ensure that they are protected later in life.
When purchasing a home, it is important to note the terms and conditions of your mortgage. To lose a home to an unforeseen loss would be devastating to your spouse. This is the perfect time to review the mortgage and make sure your coverage is adjusted to protect your mortgage for your spouse and loved ones.
When you change jobs, your salary can either increase or decrease. Any planning you did for retirement is would be adjusted down to a single-family income, placing strains and burdens on loved ones. When this life change happens, it’s time to review your current policies to make sure you have the coverage to secure retirement for the surviving spouse.
Graduate? Congratulations!! Will you be taking on student loans? New boat? Expanding the home? New loans are new
debts. It’s important to review your current coverage to make sure that in case of a loss, that new debt won’t put a burden on your family.
These five life events affect how much life insurance is right for you and your family. When your net worth increases, you may benefit from increasing your coverage. Likewise, if the family’s income decreases, you may benefit from lowering your coverage. Always align your coverage with your current needs and consult your Georgia Farm Bureau Agent to help in identifying those needs.