Life Insurance And Retirement – Benefits for Everyone
The economy seems to be improving some, however, there are still a lot of folks being very cautious, especially those nearing retirement. The uncertainty of their financial future has been impacted by lower real estate values, Social Security reform and a volatile market. They are looking for advice that will help prepare them for a comfortable retirement. Surprisingly, many do not look to life insurance as a solution. In fact, many believe at this point in their life, they do not need life insurance.
People of all ages tend to believe that life insurance is a way to help protect their dependents or family member when they die. They think it should be purchased when they marry, start a business or have children. They never consider life insurance and retirement working together when planning for their future!
People nearing retirement generally have raised their children, are close to paying off their mortgage and are focusing solely on saving for their future. Without high liabilities and dependents, why would they consider getting a life insurance policy at this stage of their life? We can tell you.
The following are a few tips as to why purchasing a life insurance policy, even if you are 60+ years of age, is a good idea:
- Leave a legacy upon your death (good for the family, but what about you?)
- Use it to spend down retirement (applicable with some policies)
- Use the cash value for any unexpected expenses once you do retire
- Distribute assets equally amongst your children (if one gets the house or business, the others can split the money)
- If you are wealthy, use the life insurance for estate planning purposes
- Most of all, it remains a peace of mind asset
Of course it is always best to start a life insurance policy when you are younger. It allows for lower premiums, a longer period of time to build cash value and a lifetime of security. Life insurance can have a lot of positive possibilities throughout every stage in life.
If you are in the years where you are transitioning from work to retirement and would like to discuss financial strategies with a professional, call Today Insurance Services toll free at 1-877-383-4429. We can suggest a life insurance plan just for you, or review your existing policy to make sure it will be an asset as you retire. The changes in our economy have certainly made a transition into retirement a little more difficult, but we are here to offer security and certainty to our clients when they need it the most.