As you age, you may be thinking about decreasing your term life insurance policy amount. If you are thinking about doing this, you may be wondering what, if any, benefits there are. At Express Financial & Insurance Services, we want to educate our clients on the importance of increasing life insurance when needed and decreasing life insurance as needed. Here are a few benefits of decreasing your term life insurance policy.
One of the biggest benefits to decreasing your term life insurance policy is the lowered cost. As a general rule of thumb, the lower your policy amount, the lower your premium payments will be. If you are looking to decrease the cost of your life insurance policy, or no longer need to carry as much insurance as you have in the past, lowering the policy limits on your life insurance policy may be a great way to go about doing so.
Carrying What You Need
Most people need less life insurance as they age. Their children may leave the nest and their home may be paid off. When you have children and/or when you have a home that is not paid off, you should be carrying enough life insurance to pay down your debt and support your family. But when these things are no longer in play, you can decrease your policy amount and only carry what you need. This helps to ensure that you are not over insuring yourself.
If you are in the market for a new life insurance policy, or are looking to increase or decrease your policy amount, contact Express Financial & Insurance Services. We can help you determine how much life insurance you should have based on your current life expectancy and financial situation.