I D E A S T O H E L P G R O W Y O U R

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BY MARY MAHONEY

When was the last time you took a look at your life insurance policy? Many people buy a life insurance policy and then throw it in a drawer or

safe deposit box without giving it another thought. However, the coverage you bought years ago may be outdated. Like other insurance, such as property and casualty and health, life insurance policies need to be managed and adjusted to keep pace with market conditions and your evolving needs and goals. It is recommended that your life insurance policy be reviewed every few years to make sure it is performing properly, as well.

As you go through life, your life insurance needs will change as your circumstances change. The following is a list of triggering events that require a review of your policy.

Young and SingleWhen you are in your 20s or early 30s you may not

think you need life insurance. In reality, buying life insur-ance when you are young is a smart financial decision. You can purchase a substantial amount of term insurance coverage for a very low premium and lock in rates for decades. If you are healthy and purchase convertible term, you guarantee that you will always be able to purchase cov-erage when your term period expires – even if your health status changes.

Family LifeIf you are a newlywed, you may be purchasing a new

home and starting a family. Should something happen and you were left alone, life insurance would be there to cover the mortgage payments and replace lost income. Once you have children, the need becomes even more important. A life insurance policy (term or permanent) that pays a lump sum or a regular income after your death can ensure your spouse and children are financially protected.

Business and WorkIf you own a business, you may want to buy life insur-

ance to protect the company you’ve built. If you were to pass away, what would happen to your company? With life

Insurance Strategies

Is Your Life Insurance Policy Keeping Pace with Your Life?

Article reprinted from Fall 2015GROWTHBIZS T R A T E G I E S

insurance, you can fund a buy-sell agreement that would ensure the remaining partners are in a position to buy your ownership stake. A good option in this case may be term life insurance for perhaps 20 years, where the cost of the insurance would be lower than permanent life insurance and still provide protection for your heirs and business partners.

Planning for Your Later YearsAs the years progress, a long-term care need could

arise that could deplete retirement savings. Adding a long-term care rider to a life insurance policy provides peace of mind and independence, knowing that your future is secure and your legacy is intact.

A policy review is simple and takes very little time. Make sure your life insurance is keeping pace with your life.

Our business is growing yours

MARY MAHONEY CBIZ Life Insurance Solutions, Inc.San Diego, CA • 858.444.3108mmahoney@cbiz.com • @cbizlife

“It is recommended that you have 10 to 15 times your salary

in life insurance.” – MoneyPros, New York Daily News