Life Insurance Spring Tune-Up: 5 Things to Check Before May

Spring is here, and it’s time for more than just cleaning out the garage or planting flowers. Your financial life, including your life insurance, deserves a spring tune-up as well. As the seasons change, it’s important to make sure your life insurance policy is still meeting your needs. Just like your car, life insurance requires periodic check-ups to ensure it’s running smoothly and providing the coverage you need.

In this blog post, we’ll cover five key things to check on your life insurance policy before May, helping you ensure that your coverage is up to date and aligned with your current financial situation.

1. Is Your Beneficiary Information Up to Date?

One of the most important aspects of your life insurance policy is the beneficiary designation. This is the person or entity who will receive the death benefit when you pass away. Make sure that your beneficiary information is up to date and reflects your current life situation. Life changes such as marriage, divorce, the birth of a child, or the death of a beneficiary may require you to update your policy. If your beneficiary is no longer appropriate, such as an ex-spouse, now is the time to make the change.

2. Review Your Coverage Amount

Over time, your life circumstances may change, and your life insurance needs may evolve as well. Have you had children, bought a home, or experienced a significant income change? These changes may mean you need to increase your coverage to ensure your family is adequately protected. On the other hand, if your children are grown or your mortgage is paid off, you might find that you need less coverage. Now is the perfect time to evaluate whether your current coverage amount is still sufficient to meet your family’s needs.

3. Check for Riders and Add-Ons

Life insurance riders are additional benefits you can add to your policy to customize your coverage. Check to see if your policy includes any riders that could benefit you or your family. Common riders include:

Accidental Death Benefit Rider: Pays an additional benefit if you die due to an accident.

Disability Waiver of Premium Rider: Waives your premium payments if you become disabled.

Child Term Rider: Provides coverage for your children in the event of their death.

If you don’t have any riders and think they might be useful, now is the time to ask your insurance provider about adding them.

4. Review Your Policy Type

There are various types of life insurance policies, each offering different benefits. You may find that the type of life insurance you currently have is no longer the best option for your needs. For example, if you have a term life policy, you might consider converting it to a whole life or universal life policy if you’re looking for lifetime coverage or the ability to accumulate cash value. A policy review will help you decide if your current policy still aligns with your long-term financial goals.

5. Shop Around for Better Rates

Life insurance rates can fluctuate, and you may be able to find better coverage at a lower price. If you haven’t reviewed your life insurance policy in a while, it’s worth checking if you could save money by switching to another provider or adjusting your policy terms. Many insurers offer competitive rates and new policy options, so it’s worth comparing quotes to ensure you’re getting the best deal.