Learn how permanent life insurance can secure and improve your retirement.
If you are like many of the other Americans that have a permanent life insurance policy, chances are you got this coverage as a means for protecting your family. However, as you age, many of your financial obligations may have ended or changed. This is when your life insurance policy can take on a new role. Here’s how life insurance can open up new options during your retirement.
- Protects Against the Risk of Outliving Your Assets
If correctly managed, your permanent life insurance policy can provide additional retirement income through policy loans and withdrawals. Some policies also offer options for long-term care benefits. At any time, you have the option to convert your policy into a guaranteed source of income.
- Bolsters Pensions
While pensions are quickly becoming a thing of the past, those who do have this benefit often have to decide whether to take a higher, single life distribution, or a lower amount that will provide for a spouse after you pass. For many pensioners, this is a tough decision. However, if you have life insurance, then your policy can supplement a spouse’s income. This in turn allows couples to choose the higher, single life pension option without facing uncertainty.
- Allows You to Leave a Legacy
Finally, permanent life insurance can actually be an effective estate-planning tool that can help you pass your assets to your loved ones when you pass on. Policy proceeds are usually income-tax free and paid directly to your beneficiaries. Additionally, your policy can be used to pay estate taxes, ensure the continuation of a family business, and protect your other assets for your loved ones.
These are some of the ways in which life insurance can protect you in your retirement. Curious to learn more about what the right life insurance can do for you? Turn to the experts at Weaver & Associates in Arcadia, California. Our dedicated team is ready to assist you with all your coverage needs. Contact us to get started today.