When was the last time you reviewed your life insurance policy? It might not be easy to think about what will happen when you’re gone, but it is important to make sure your cover is still relevant for your current circumstances.
Life insurance is designed to provide financial support to your loved ones in the event of your death. Each policyholder therefore has a different level of cover, depending on their specific situation. So, if you bought life insurance once, don’t be fooled into thinking there’s nothing else to do. Life can be full of surprises and, as things inevitably change, certain events might require you to take out more cover.
Buying a property
Have you recently moved home? If you have a mortgage to pay, it’s important to make sure that any dependents will be able to keep up with repayments and stay living in the property if you pass away.
Milestone events
Have you experienced a significant lifestyle change due to a major event? Perhaps you have recently got married, welcomed a child or grandchild, or started caring for an unwell relative. Each of these situations means that there is someone new depending on you, so you might require a higher level of cover to alleviate the financial pressure on them if you are no longer around.
Don’t pay too much
Life insurance does not only need adjusting if you gain dependents or take on an additional financial commitment – if you have recently separated or downsized your home, your policy will need revising in light of this.
It’s good to talk
Look after your loved ones by double-checking if your cover is right for you – contact us for advice.
🚨 Data accurate as of the date of publication –26.06.2024
🚨Information within this blog is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed.
🚨Think carefully before securing debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.
🚨 The above material is for informational purposes only and does not constitute a sales offer or financial advice. Before taking out any insurance, credit agreement or other financial product, you should obtain individual advice on your requirements and the general terms of the contract.
Source: Quilter Financial Planning – Essentially Mortgages Q2 2024
