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.
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.
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.
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.
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.
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.
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