Bringing Life Insurance Into Focus for Retirement

When you're heading into retirement, there are many things that will likely be top of mind for you besides life insurance. For example, you'll be thinking about your savings, your family's well being, your upcoming spare time, and so much more.

Even if life insurance isn't something you think about when you're edging into retirement, it's important nonetheless and something that you should consider regardless of where you are in the retirement process.There are many times in life that should bring life insurance into focus.

Buying your first home, having a baby, getting a promotion, and more are all life changes, or pivotal moments, that should make you wonder - Do I have the right kind of life insurance? Depending on the policy you had before and the changes you're undergoing, the life insurance coverage you have might not meet your family's current needs.

Life insurance can be a difficult topic to consider, and it may not seem as urgent as other things do when retirement is looming. However, determining your life insurance set up now will help you continue to build a promising future for your spouse and children, even after you retire. And if you have a life insurance policy provided to you by your employer, retirement is especially the right time to determine your life insurance policy basics and what you should have - and in many cases, additional life insurance is most likely necessary in order to have the best coverage available. After all the purpose of life insurance is to provide your family with a safety net that is big enough for every need your family might have.

So, who needs life insurance?
Let's ask this instead - do you have anyone relying on you? If you do, then you need life insurance. Life insurance is meant to provide for families after a death. So, the question goes beyond, do you need life insurance... Do you have enough life insurance?There are different types of coverage to consider. Each life insurance type can potentially be customized further to your specifications. Permanent, or whole, life insurance policies are built to run from the time of purchase until the event of death, regardless of age. You can buy these policies at any time, although it's more common for younger adults to purchase permanent life insurance policies.

Permanent life insurance policies can also be borrowed against without taxation, so if you're investing funds prior to retirement, permanent life insurance is a great option. Permanent life insurance typically also involves some type of investment or money market account, which over time can increase the value of your life insurance policy.

On the other hand, term life insurance policies are cheaper, but only cover a specific time period - such as from the time of purchase until the event of death or to a certain age. While term life insurance is a great way to cover your family at a lower cost, it's important to work with a life insurance professional to make sure you have the coverage you need and that you aren't under-insured. The type of life insurance that's right for you depends on your financial situation, your goals, your budget, and many other factors.

So how do you go about determining the right life insurance policy for you and your family?

A typical industry standard is to purchase enough life insurance to replace five to seven years of your salary, however, many families plan for more than this depending on their lifestyle, the number of kids they have, the age of their children, if you have a mortgage, and much more. If you're retiring, you can use your average salary as a way yo estimate what five to seven years of income would be, but it's best to work with a life insurance professional to make sure you have all your bases covered.It's also important to note that not all life insurance providers are created equally.
When you're comparing two different life insurance policies and contemplating which to purchase, you may think you're comparing apples to apples - but that may not be the case. Working with a life insurance specialist will help you examine all your options and understand your choice on a deep level.

Life insurance isn't something to be taken lightly, especially as you near retirement. Give yourself peace of mind by selecting<a href="http://www.pivot.com/Pivotal-Moments/Retirement"> </a>life insurance that fits you and your family. Then, you can enjoy your retirement knowing that your family's future is secure.