How Life Insurance Can Help You After Retirement
Here’s how your permanent life insurance policy can help you in your retirement.
When most people get permanent life insurance in Orange, California, they usually do so as a means of protecting their loved ones. However, as you age, your number of financial obligations have likely diminished. This is when your policy takes on a new role and becomes a tool that you can use to secure your retirement. Here’s how your permanent life insurance policy can help you after retirement.
Protects Against the Risk of Outliving Your Assets
When correctly handled, your life insurance can provide a supplemental income for you during retirement. If you rely on investments as your main source of retirement income, then having a permanent life insurance policy to draw from can take some of the pressure off your investments when the market slows down. Through policy loans and withdrawals, your policy can become a great financial tool that ensures that you have the assets you need during your retirement years.
Maximizes Your Pension
While pensions are quickly becoming a thing of the past, if you do have a pension to rely on, you will have to decide between taking a higher, single life distribution or accepting a lower amount that will provide for a surviving souse should you pass. However, if you have a permanent life insurance, then your policy can supplement a surviving spouse’s income. This will allow you to enjoy the higher, single life distribution without uncertainty regarding a surviving spouse’s income.
Allows You to Leave a Legacy
Your permanent life insurance can be a flexible real estate planning tool that can be used to pass assets onto your loved ones. For starters, compensation from your policy is generally not subject to income taxes and is paid directly to your policy’s beneficiaries. Your policy can also be used to care for your estate, continue your business, or leave a legacy for a charity.
These are some of the ways in which your permanent life insurance policy can help you post-retirement. Do you have questions regarding your life insurance in Orange, California? Then turn to the experts at Remland Insurance. Our dedicated team is ready to assist you with all your insurance needs. Contact us to get started today.