3 life events when you may consider amending your life insurance

Did you know you can change your life insurance to help meet the needs of your changing life stages?

Life insurance (death cover) is a way of protecting you and your loved ones financially in case you pass away or are diagnosed with a terminal illness.

It can help pay debts, and cover education fees, medical bills and daily living costs. Luckily, most insurers allow you to review and update your cover at certain pivotal points in life, so you can make sure you have the protection you need.

Here are three life events when you may consider altering your life insurance cover to match your changing needs so you can protect your finances.

Getting married

When you get married, it makes sense that you would want to protect your partner in case of the unexpected. You may have shared debts, such as a mortgage or car loan, and your living costs may be reliant, either in part or full, on your income. Increasing your life insurance cover can help your spouse meet financial obligations should something happen to you.

Having children

When you have a family to provide for, it’s no longer just about you and your partner. According to Finder, the cost of raising a child in Australia ranges from $159,120 to $548,500 over 18 years. Increasing your life insurance cover can help ensure that no matter what life throws at you, your dependents will be financially supported.

Downsizing

Maybe you’ve paid off your home or your adult children have moved out and you no longer have as many financial obligations. Planning for retirement or starting to downsize might be a good time to review and consider reducing your life insurance cover to save on premiums, while still having the protection you need for the unexpected.

Unsure what you need? I can help you review and tailor your cover so it continues to suit your life stages. That way you can feel confident that you and your loved ones are financially protected.

Reference:
How much does it cost to raise children in Australia? | Finder Accessed January 2024.