When do I review my life insurance?
While many people do take the first step by securing life insurance, they fail to maintain their policies as time goes on. However, insurance experts recommend routinely reviewing and updating your life insurance to maximize your benefits. Here’s when you should conduct a life insurance review.
Annual Insurance Reviews
Generally, you should review all your insurance policies, including your life insurance, on an annual basis. If you haven’t had any major life changes during the year, then your coverage needs probably won’t change very much during your review. However, because you are bound to experience major changes every couple of years or so, it’s important to maintain your annual review schedule.
Additional Insurance Reviews
There are certain scenarios in which you should conduct an additional review of your life insurance. If you are anticipating a major life change or if a sudden change occurs, then review and update your life insurance as soon as possible. Some of these major changes include:
- the birth of a child or grandchild
- your children starting college
- caring for a sick relative
- major business success
- unexpected inheritance
- winning the lottery
What to Consider During a Review
When reviewing your life insurance, consider your debts and financial obligations. As both these things are bound to fluctuate throughout your lifetime, you need to adjust your insurance coverage limits accordingly. You should also have enough coverage to take care of your dependents for an extended period of time.
This is what you need to know about reviewing your life insurance. Are you looking for assistance with your life insurance coverage? If so, then contact the experts at Weaver & Associates in Arcadia, California. We are ready to help you with all your insurance needs today.