Why September Is the Right Time to Review Your Life Insurance Coverage
September is Life Insurance Awareness Month—an annual reminder to take a step back and evaluate whether your family or business is properly protected.
Life insurance is not a one-size-fits-all decision. Different policy types can be designed to address different needs, from temporary obligations such as a mortgage or replacing income during a child’s dependency, to longer-term goals such as providing estate liquidity or protecting a surviving spouse’s lifetime income.
Term vs. Permanent: Understanding Your Options
Choosing the right policy begins with understanding how different structures align with your personal financial timeline:
- Term Life Insurance: Provides coverage for a specific period (such as 10, 20, or 30 years). It offers straightforward, cost-effective protection designed primarily to cover finite financial commitments like a home loan or college tuition years.
- Permanent Life Insurance: Covers you for your entire lifetime (provided premiums are paid) and includes a cash-value component that can grow over time. This type of policy can play key roles in estate planning, wealth transfer, and supplemental retirement strategy.
3 Questions to Ask Yourself This Month
As your life evolves, your insurance needs often change with it. Consider these key questions during your review:
- Has your family or income changed recently? A marriage, new child, home purchase, or career advancement often creates a need for higher coverage limits.
- Do you rely solely on group coverage through your employer? Employer-provided life insurance is a great benefit, but it is rarely portable if you change jobs, and coverage limits may fall short of your family's actual long-term needs.
- Is your policy aligned with your estate or business plan? For business owners and high-net-worth individuals, life insurance can fund buy-sell agreements, equalize inheritances, or cover potential estate tax liabilities.
Let’s Ensure You're Covered
The most effective insurance strategy is one built into your broader, comprehensive financial plan. If you haven't reviewed your existing coverage recently or want to explore how a policy can support your financial goals, please reach out to our team to schedule a review. We can be reached at 215-579-5601 or email us at info@ewmginc.com.
As always, if you have any life changes or updates (i.e., new job, promotion, marriage, new baby, new grandchild, etc.) that may affect your current insurance and investing strategy, please call us at 215-579-5601.
–Stacy Brilliant, Chief Operating Officer
