Why retirees still benefit from life insurance coverage.
Now that you are retired, you may be convinced that you no longer need your life insurance. With your mortgage paid off and your kids out of the house, canceling your policy seems like an easy way to save money. However, some retirees do benefit from keeping their coverage. Here’s what you need to consider about life insurance in your retirement.
If you retire without debt and can live off your savings, then you probably do not need life insurance. However, if you still have debt, need to work a part-time job, and have people depending on your income, then you cannot afford to skip out on life insurance.
Even if you have a pension to rely on when you retire, this does not necessarily mean that you can forgo life insurance. While your pension will offer you a source of income after you retire, what happens if you were to pass away? Most pensions get cut off when the pension holder dies. If your spouse is reliant on your pension, then the loss of this income can leave them on shaky financial ground. The only way to ensure that your spouse has the income they need is by maintaining your life insurance coverage. This way, your death benefit can make up for the loss of your pension and offer your partner a much-needed source of income.
This is why many retirees need to maintain their life insurance coverage. Do you have additional questions regarding your life insurance needs? If so, then contact the experts at Patterson & Associates in Richardson, Texas. We are ready to assist you with all your life insurance needs today.