Life changes quickly, and when it does, your insurance coverage should change too. Many families set up a policy once and never look at it again, even though their needs grow over time. Here are five important moments when it is smart to review your coverage and make sure you are still protected.
1. When You Get Married
Marriage is one of the biggest milestones in life. Suddenly your financial decisions affect another person. If something were to happen to you, life insurance ensures your spouse is not left with debt or financial instability. Updating beneficiaries is also critical at this stage.
2. When You Buy a Home
Taking on a mortgage is a long-term financial commitment. Life insurance can help protect your family from losing the home if the unexpected happens. Reviewing coverage at this point ensures the policy matches your new financial obligations.
3. When You Have Children
Raising a child is expensive, from diapers to college tuition. Life insurance gives parents peace of mind knowing their children will be taken care of financially if the worst were to happen. This is often the moment when families realize they need to increase coverage.
4. When You Change Jobs or Income Levels
A new job or raise often comes with new financial responsibilities, sometimes even relocation. Employer-provided insurance is rarely enough on its own. It is important to review whether your policy should be supplemented or replaced to match your current lifestyle.
5. When You Approach Retirement
As retirement nears, your goals change. Some families want to leave a legacy, while others want to cover final expenses so loved ones are not burdened. Revisiting your coverage helps you align your policy with your long-term financial plan.
Bottom Line:
Life does not stay the same, and your insurance should not either. Reviewing your coverage during these key life events ensures you and your loved ones are always protected.
