If you originally purchased a life insurance policy to protect your income for your family should the worst happen during your working years, retirement may seem like the right time to let your policy lapse. Even better, it may seem like the time to trade it in for cash value. But there may be reasons to keep a policy, even after you retire.
Why Would You Keep Life Insurance Into Retirement?
Here are four reasons you may choose to keep or purchase life insurance products throughout your retirement.
Life Insurance Can Pay Your Debts
A life insurance policy can assure you that your family will not have to repay your debts in the event of your death.
You Can Avoid Probate
Life insurance beneficiaries receive their payouts outside of probate court, and without being subject to probate taxes.
Provide Income When You Need It
Life insurance policies can be structured to provide income during your retirement, for whatever you may need it for including healthcare and medical expenses.
Protect Your Spouse
A life insurance policy can be structured to provide income for your spouse after your death.
What Kind of Life Insurance Should You Have?
Deciding which policy would be the best life insurance for your retirement is not an easy task. Contact your trusted insurance provider to discuss your needs and structure the right policy for you and your family.