Empower Blog

August 17, 2021

Understanding The Importance of Life Insurance Policy Evaluations

Insurance
Getting a life insurance policy is a great step towards protecting you and your family's financial future. However, life insurance isn't a set it and forget it type of coverage. In fact, your life insurance needs are likely to change throughout the various stages of your life, which means conducting regular policy evaluations can help make sure you're staying on track to meet your financial and coverage goals.

Why You Should Consider a Policy Evaluation

A life insurance policy evaluation can help ensure the money you are paying for your policy is doing what you think it's going to do. In other words, it will help you understand whether your coverage is enough not only for right now, but also for you and your family's future. Beyond coverage amounts, these check ins are also a good time to consider any updates to policy ownership, beneficiaries or even your type of life insurance coverage, such as extending a term policy or moving from a term to permanent policy.

When a Policy Evaluation Makes Sense

If you've experienced any major life changes, such as a marriage or divorce, having a child, paying off debt or purchasing a home, then it could be a good idea to reevaluate your policy needs. Other life stage triggers could include changing jobs or deciding to stay home, where you might lose employer-provided coverage, or planning for retirement or a child’s college education, where you might consider exploring the possibilities of a permanent policy and how that could help diversify your long-term savings or investment accounts. Regardless of where you are in life, it's a good idea to review your policy at least every few years to make sure it's still the right fit for your current situation.

What to Have Prepared

Information you should have on hand when you attend your policy evaluation includes the type of life insurance policy you have, when the policy was put in place, how much coverage you have and what it costs. It will also be helpful for you to reflect on your current situation and how it might've changed to help you consider any potential changes or prepare any questions that could be beneficial for your insurance planning.

Questions to consider could include topics such as whether to convert a term policy to a permanent plan, or if your current policy is in line with your financial planning goals.

Insurance Agent, Joe Yates, is here to help with free life insurance policy evaluations. Joe will analyze and walk through your existing policy with you, to help you understand whether it's meeting your current needs and provide perspective in terms of your long-term financial goals.

 

Meet With Joe

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About the Author
Professional Picture of Joe Yates
Joe Yates

Wealth Management By CommunityAmerica

Joe is an Insurance Advisor specializing in Life Insurance at the CommunityAmerica Insurance Agency.

Insurance products are offered by Copper Financial Network, LLC (“CuFi”) in its capacity as an insurance agency and are not NCUA/NCUSIF or otherwise federally insured, are not guarantees or obligations of the credit union, and may involve possible loss of principal. CuFi Insurance Advisors are only authorized to offer non-securities insurance products. CuFi is a wholly-owned subsidiary of CommunityAmerica Credit Union. Wealth Management by CommunityAmerica is a marketing name used by CuFi.