Situations Where You Should Review Your Life Insurance

When you need to update your life insurance coverage.parent holding baby's hand

Just because you secured life insurance doesn’t mean that your work is done.  For your policy to offer maximum protection, you need to continually review and update your coverage.  But which life events indicate that it’s time for a policy update?  Here’s when you should review your life insurance.

  • You Have a Baby on the Way

If you are welcoming a new addition to your family in the near future, then you need to update your life insurance policy to address this change.  In addition to adding your child as a beneficiary, you should also increase your coverage to help your spouse pay for child-rearing costs and future educational expenses should you die unexpectedly.

  • You Buy a New Home

If you have finally taken the huge step of purchasing a home, your financial obligations will increase.  This is because you now have to keep up with regular mortgage payments in order to keep ownership of the home.  Once you close on the home, you need to increase your life insurance coverage to ensure that your benefit is enough to help your spouse keep up with mortgage payments or pay off your mortgage completely.

  • You Want to Start Your Own Business

If you want to launch your own business, then you may need to secure business loans to finance your company.  If your spouse or business partner cosigns on these loans with you, then they would carry the burden of paying these loans back if you were to die.  This is why you should be sure to update your life insurance policy by increasing your coverage and adding your business partner as a beneficiary so they can use a portion of your death benefit to pay back these loans.

These are some of the situations in which you should review your life insurance coverage.  Do you have additional questions about your life insurance?  If so, then contact the experts at Miller Carlisle Insurance Services.  Our dedicated team is eager to assist you with all your coverage needs today.