If your house seems quieter now that the kids are grown and off on their own, then you are officially an empty nester. You probably still have a few years left until the golden age of retirement. You are probably reconsidering your life insurance.
Do you really need to have coverage now that you don’t have young children wholly dependent on you financially? Getting rid of that coverage or not having any at all in this stage of life could be a big mistake. Now that the nest is empty, it’s time to focus on building your “nest egg” of retirement savings and giving your loved ones enough financial protection to make sure that the nest egg can continue to grow, even if something should happen to you.
You may think that the bulk of your financial obligations are over. Maybe the house is paid off, the children are all grown and supporting themselves and retirement is just a few short years away. You don’t have any major debts left to contend with, and you gave yourself an early start saving for retirement. Do you really need life insurance at this time in your life? There are several reasons why the answer to that question could be yes.
If you’re still married, then you still have a spouse that most likely needs your financial support. The loss of your income might still negatively impact them if something should happen to you. You may also have lost several years that you would have spent continuing to contribute to your retirement fund. If you have children, even if they are grown and independent at this stage, they may still need financial support from their parents in the event of a crisis- like a job loss or a major health scare. If they have children of their own, you as the grandparent might want to make a contribution to their children’s college educations.
You or your spouse may have a health scare of your own in these years that puts you in debt with medical bills. And if you have any debt remaining at all, life insurance can give your spouse and family the opportunity to grieve without also struggling to pay the bills.
Learn about Term Life Insurance
Learn about Permanent Life Insurance
Learn about Universal Life Insurance