As you and your family move through different stages of life, your Kelowna life insurance plan should be adjusted. Planning for a great life includes paying attention to your life insurance and making the necessary adjustments over the years. Reasonable changes should be made as early as possible to save cost and produce the best overall outcome.
Kelowna Life Insurance
Life insurance needs generally start out as protection for a family and/or business from an unlikely yet costly young death. At this time usually, large amounts of temporary term coverage are purchased for debt repayment and income replacement purposes. These policies don’t cost much; however, this affordability is only for the initial 10 or 20 year period. Thus, it is advisable to be proactive. As mortgage balances reduce, asset values increase and family needs change, adjustments need to be made.
As you get older and term premiums increase it is important to look at what needs are not temporary such as taxes and estate planning. These non-temporary needs should be addressed as early as possible potentially though permanent life insurance. These policies are initially more costly than term; however, they pay out no matter when you pass away which means premiums are never wasted. The earlier one can obtain permanent coverage the more affordable it is and the more efficient the outcome.
An advisor can help determine the adjustments needed to minimize costs and maximize outcomes. Because of life’s continuous fluctuations, it is important to review your insurance planning regularly.