[et_pb_section fb_built=”1″ _builder_version=”3.27.4″][et_pb_row _builder_version=”3.27.4″][et_pb_column type=”4_4″ _builder_version=”3.27.4″][et_pb_text _builder_version=”4.4.5″ hover_enabled=”0″]<\/p>\n
Just because you\u2019re retired<\/a> doesn\u2019t necessarily mean you\u2019re financially sound.<\/p>\n Think of all the different scenarios that may still be applicable: You may have been required to retire early; you may have had investments that have gone sour and haven\u2019t had time to rebuild your nest egg. Additionally, there may be a need to cover final expenses, you may have children still at home who depend on you, or you may have a family member like an aging parent or special-needs sibling that you provide financial support for.<\/p>\n The bottom line is this: If you owe someone, love someone, or someone depends on you financially, you need life insurance<\/a>. And just because you\u2019re retired or old doesn\u2019t mean those three things go away.<\/p>\n If you bought the life insurance to replace income and have built up\u00a0your investments, maybe not.<\/p>\n Then again, if you have built up\u00a0your investments over the years, there may be some state or federal inheritance tax that will have to be paid upon\u00a0your death. And even if there is no federal tax, there may still be significant state inheritance tax. There are also things like probate costs, administration costs; there might be final debt or a mortgage on house, too. So as long as there is some type of financial exposure, you need life insurance to match up with that.<\/p>\n Absolutely. Just because you\u2019re old or older doesn\u2019t mean you\u2019re uninsurable.<\/p>\n I just got a call from someone doing planning for the family patriarch who\u2019s 85 years old. They realized that right now, the estate is worth more than the combined amount of federal exemption and that there will be tax to pay. That\u2019s where life insurance comes in, at less than a dollar for each dollar of tax.<\/p>\n Another reason to have the coverage is if someone has taken 100% pay-out on their pension, with no survivorship provision. If that person dies, no money gets paid out to the surviving spouse. This is more common than you think. Nor is it unusual to hear that someone remarries and forgets to change the pension beneficiary. Life insurance can ensure that the spouse is taken care of.<\/p>\n People don\u2019t often talk about the living benefits of life insurance.<\/p>\n Let\u2019s say you no longer need the death benefit, but are living with a lingering, terminal illness and may not have sufficient cash to pay medical expenses. The accelerated death benefit provision means you can go to the insurance company and pull down money from the policy to absorb the costs of that illness and avoid bankruptcy.<\/p>\n A permanent life insurance policy<\/a> is also a place to put money aside that gives you a better rate of return than a low pay-out CD or putting money in a safely deposit box. It\u2019s a way to have some safe money invested at no risk\u2014it\u2019s just there for when you need it.<\/p>\n Share this info\u2014click to tweet it out.<\/strong><\/p>\nPermanent life insurance is a way to have some safe money invested at no risk\u2014it\u2019s just there for when you need it. <\/a><\/span>Share on X<\/a><\/span>\nIf you owe someone, love someone, or someone depends on on you financially, you need life insurance\u2014whether you\u2019re retired or not. <\/a><\/span>Share on X<\/a><\/span>\n [\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section]<\/p>\n","protected":false},"excerpt":{"rendered":" Do I need life insurance once I retire? Just because you\u2019re retired doesn\u2019t necessarily mean you\u2019re financially sound. Think of all the different scenarios that may still be applicable: You may have been required to retire early; you may have had investments that have gone sour and haven\u2019t had time to rebuild your nest egg. […]<\/p>\n","protected":false},"author":11,"featured_media":1399,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_et_pb_use_builder":"on","_et_pb_old_content":"","_et_gb_content_width":"2880","footnotes":""},"categories":[4],"tags":[196,195,14,191,192,193,88,190,194],"class_list":["post-1398","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-life-insurance","tag-cd","tag-investments","tag-life-insurance","tag-life-insurance-in-retirement","tag-pension","tag-retire","tag-retirement","tag-special-needs-child","tag-terminal-illness"],"acf":[],"yoast_head":"\nDo I need the same amount of life insurance coverage as I did before?<\/h2>\n
If I don\u2019t have one, is it still possible to buy a policy in retirement?<\/h2>\n
What else should I know about having life insurance in retirement?<\/h2>\n