If it has been more than a couple of years since you reviewed your life insurance coverage, you may be leaving significant value on the table.
Most people do not think about life insurance once it is in place. But like any other asset in your portfolio, it needs periodic review. Your life, your goals, your net worth, and the insurance marketplace are constantly evolving. Your coverage should evolve with them.
The hidden opportunities in reviewing your life insurance policy
Coverage Relevance
As your wealth grows, so do the risks to it. What protected your family a decade ago may not even come close to covering what is at stake today. A coverage audit helps clarify your current exposures and determine how to address them effectively.
Strategic Opportunities
Rates shift. Product designs improve. Underwriting programs become more favorable. Many clients are surprised to learn they can reduce premiums, increase guarantees, or enhance overall performance simply by exploring new options.
Underwriting Improvements
If your original policy did not receive a preferred rating due to a health condition, family history, or build, there may be new opportunities available. Some insurance carriers have changed the way they assess risk. Advances in medical guidelines and underwriting technology have led to more favorable classifications for certain risks. That can result in stronger benefits or lower premiums than were available just a few years ago.
Cost Efficiency
Many older policies no longer perform as illustrated. Whether they are underfunded, expensive, or simply outdated, a review can uncover opportunities to restructure for better value and long-term performance.
Tax and Estate Planning Alignment
Life insurance can be one of the most powerful tools for tax efficiency and legacy planning. But only if it is structured correctly. Reviewing policy ownership, beneficiary designations, and trust integration can help ensure your policies align with your estate planning strategy and maximize tax advantages for your beneficiaries.
Independent Advice
Working with an independent advisor means your interests come first. Instead of being limited to one carrier's products, you can gain access to a broad range of options. At Kaufman Rossin Insurance Services, we work with over 80 top-rated insurance companies to provide objective guidance and access to a wide range of solutions. Our independence allows us to make recommendations that are based solely on what works best for you.
You Don't Just Have a Policy. You Have a Strategy.
Life insurance should not be set and forgotten. It should be reviewed with intention and integrated into your overall financial plan.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
