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It's Life Insurance Awareness MonthIts Life Insurance Awareness Month

Have you reviewed your life insurance needs lately?

September 2016 calendar isolated on white background.
Just like most general aviation aircrafts require annual inspections and the FAA requires a completed BasicMed Comprehensive Medical Examination Checklist as a best practice before you fly, most financial experts recommend you periodically review your life insurance needs to make sure you’re adequately prepared for the future.

So, if you haven’t reviewed your coverage needs in a while, now—while September is Life Insurance Awareness Month—is a good time to do so. 

When you review your life insurance needs, you should take into consideration the following:
 

Calculator Icon. This 100% royalty free vector illustration features the main icon pictured in black inside a white square. The alternative color options in blue, green, yellow and red are on the right of the icon and are arranged in a vertical column.  Do you have enough?                                                

If you don’t have any and loved ones depend on you, then you need to consider the impact your death could have on them. Then you should obtain enough insurance that adequately replaces your income and other contributions you make to your family.

If you already have life insurance, you should reevaluate the amount of coverage you have and compare it to your current worth. What you purchased last year, 5 or even 10 years ago may not be enough to replace your income and all you currently do for your family.

   Are you covered when you fly?

Some life insurance plans may limit or restrict paying of benefits if you engage in certain hobbies or recreational activities, including general aviation. Make sure you review your policy’s limitations and exclusions section to ensure it doesn’t exclude coverage for your general aviation activities or other recreational hobbies you enjoy. 

A set of icons representing families and other relationships. The icons include families, couples, husbands, wives, love, family life, pets, and home life among others.Has anything changed in your life recently?

Almost every lifestyle event—marriage, divorce, children, job changes or promotions, buying a new home, retiring among others can impact your life insurance needs. 

For example, if you purchased coverage when you were single and now have children, your insurance needs have probably increased. Conversely, if you purchased coverage when your children were young and now they’re out on their own, your insurance needs have probably decreased.
 

Dollar Decrease Icon. This 100% royalty free vector illustration features the main icon pictured in black inside a white square. The alternative color options in blue, green, yellow and red are on the right of the icon and are arranged in a vertical column.   Could the current economy be impacting you?

The dollar just isn’t going as far as it used to. Inflation and the current economic conditions may have reduced the actual value of what your life insurance was initially meant to cover. As a rule of thumb, if the cost of living has increased 3 percent since you purchased coverage, your life insurance amount should increase by the same amount. 

Medical clipboard icon with long shadow. Flat design style. Round circle icon. Clipboard silhouette. Vector illustration  How is your health now?

If you’ve lost weight, lowered your cholesterol, quit smoking or are otherwise healthier now than when you first obtained life insurance, you could be paying too much. Because people are living longer, many insurance companies are reevaluating their rate tables—this means you may qualify for a lower rate. 

A set of icons representing families and other relationships. The icons include families, couples, husbands, wives, love, family life, pets, and home life among others.  Who are your beneficiaries?

If you’ve married, divorced, had children or grandchildren or someone died since you first purchased your coverage, your beneficiaries may have changed too. You should review who you designated and update it if there have been changes in your life.  

No one wants to think about the unpleasant reality of their own mortality and the subject of life insurance. But unfortunately we have to if we have loved ones who depend on us. That’s why you should mark your calendar to do a life insurance review this year during September—the only month designated by the insurance industry as Life Insurance Awareness Month. 

If, during your review, you determine you need to purchase coverage or increase your current coverage, keep in mind that AOPA not only protects your freedom to fly, but also offers you access to valuable Group Term Life Insurance coverage. With this coverage, there are no general aviation exclusions! To learn more, simply call 844.304.2672 (AOPA) or visit aopainsurance.org/life


 

 

Program Administered by Mercer Health & Benefits Administration LLC AR Insurance License #100102691 •  CA Insurance License #0G39709 In CA d/b/a Mercer Health & Benefits Insurance Services LLC

 

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