When you plan for the future, an important part of that process is purchasing life insurance. However, if time has passed since you first bought it, you may need to reevaluate your plan. Life changes such as getting married, having a new baby, or purchasing a new home all come with added responsibilities, making it important to have the right coverage.
Whether you’re looking to adjust your coverage amount, modify your beneficiaries, or explore the most cost-effective options, you want the peace of mind that comes with the right life insurance policy. In this article, we’ll explore the reasons to change your life insurance policy in depth. By choosing the perfect life insurance for your needs, you’re protecting the well-being of those who matter most.
Know what you have
While getting a new policy is always an option, there are several reasons why upgrading an existing policy is sometimes a better choice. For example, supplementing your policy may give you access to additional features or riders, while upgrading to a higher death benefit can ensure that your loved ones are better protected financially after you’re gone.
Here are some additional reasons to consider:
- Your life needs have changed. Maybe your children no longer need financial support, you’ve gotten divorced, or your income or estate has increased.
- You want permanent coverage and want to upgrade from a term policy to whole life insurance.
- You have a new employer and now need to consider whether you need to subsidize the benefits at your new job with a privately owned policy.
- Your term policy may be coming to an end, but you still need coverage of some type.
- You need to find a more affordable premium, or coverage with better terms.
- You changed your financial strategy.
- You want to incorporate a cash value policy in your comprehensive financial plans.
Some term life policies come with a feature allowing you to convert to a permanent policy without requiring another medical exam. This can be helpful if your health has changed since you first took out your policy, as it allows you to secure lifelong coverage without additional medical underwriting.
However, if you are thinking about changing your life insurance, it’s important to evaluate your options carefully and consult with a licensed insurance professional to ensure you make the best decision possible.
Knowing what you need
Confused about what type of life insurance you need? Stratus, The Policy Analyzers® are here to help. Our team is on a mission to identify and fix hidden traps and shortfalls of insurance policies, and help clients and businesses get the coverage they deserve.
Stratus Partners is independent and licensed in California. We begin with a policy review and assessment to learn about your current policy or lack thereof and your current and future needs; and then present you with your best life insurance options.