2020 has been an interesting year to say the least. Sometimes it takes a pandemic to force us to prioritize what is most important. This life event has brought to the forefront the reality of our mortality: hopefully a reality we will not face for many years.
While death is certainly not a popular dinner topic, it is of paramount importance to discuss. If you were to pass away, how would this affect your family financially? Is there debt (mortgage or other) outstanding? If so, you should be considering how life insurance fits into your financial plan. It should act as a risk management tool, ensuring that an untimely death will not destroy your families financial future. It can also act as tool for your estate, helping to pay estate tax bills, providing a quick injection of cash for your family at a difficult time, or simply creating a tax-free estate to be left to the beneficiaries of your choice. While we are bombarded with negative media, it can be easy to tune out serious topics like your estate plan. While no one will ever consider estate planning an exciting topic, now is an excellent time to focus on reviewing your insurance coverage (or lack their of), to ensure it is sufficient to protect your financial plans from potentially catastrophic risks.
