It’s a good idea to review your need for life insurance whenever a major life event occurs. Consider the following events and the ways in which life insurance might help protect your family in each scenario:
- New home purchase or major home improvements. Life insurance can cover your mortgage or home equity obligations in the event of your death.
- Marriage. A wedding should prompt you to review your entire financial situation, including your income needs, debt, and other liabilities, and to add a layer of protection for both spouses.
- Birth or adoption of a child. A life insurance policy can provide protection for your family’s increased income needs and any debt you may have taken on, including college expenses.
- New job. A term insurance policy can replace any group coverage you may have had from a former employer, and enable you to increase your coverage amount in accordance with your new salary.