When you think about planning for your future, a lot of times you may be thinking long-term toward retirement or some other big financial goal. But short-term financial planning is important too.
One way to keep your current needs in mind is to consider your lifestyle and whether your insurance status aligns with your short-term needs. Sure, you probably review your auto insurance plan at least once a year, but what of your other policies?
Take a few minutes to consult this insurance checklist and ensure that you’re on the right path for meeting your (and your family’s) insurance needs for short-term protection and confidence.
1. Have Your Coverage Needs Changed?
As you go through life transitions and even as policies update from year to year, you may find that your coverage needs have changed since you last reviewed your insurance needs. Check in with your health, life, and homeowners insurance policies to determine whether they are adequate for your current lifestyle.
Don’t forget to account for major life changes, like births, deaths, or retirement, since these can impact the coverage amounts you require. Ultimately, keeping your policies in line can save you money on your monthly payments (if you find you have too much coverage in one or more areas) or will provide a more adequate amount of coverage for you and your family members (if your lifestyle has changed significantly since your last review).
2. Are Your Beneficiaries Up-to-Date?
In addition to checking whether your coverage is up-to-date, you will want to take a moment to review your beneficiaries listed on your policies. This is especially important if you’ve recently added a new family member who might not have made it onto your insurance plan(s) yet.
You also should check whether your beneficiary information is correct. If you have adult children, make sure that their names and addresses listed correctly, since their major life events, like marriage and moves, can require a quick policy update.
3. What Policies Might be Missing?
Are you covered in all of the areas that you need to ensure your family’s security? If you’re recently married or have a growing family, perhaps now is the time to consider that life insurance policy you’ve been putting off. Or maybe it’s time to consider extending your disability coverage or natural disaster protection for your home.
Talk to your financial advisor about how to best cover your lifestyle and protect your family’s assets in the event of an unexpected illness or disaster. You may be surprised at how your coverage needs differ from the coverage you already have.
4. Do You Have Policies You No Longer Need?
On the flip side, you may be paying toward insurance coverage that you don’t really need anymore. Perhaps your life insurance policy carries far more coverage than you and your empty nesting spouse really need. Maybe your asset protection policies cover items you no longer own or use. If you’re insurance coverage exceeds your needs, talk to your financial advisor about amending policies or removing coverage to better reflect your lifestyle needs.
5. Do I Need Help Managing My Personal Coverage Needs?
It can be a big task to sift through your insurance paperwork to determine which policies you have, what your coverage amounts are, and whether these are relevant to your lifestyle and future financial goals. But the good news is that you need not work through these tasks alone.
Talk to a trusted financial professional, like Jacob Sturgill who can help you to work through your lifestyle needs and determine whether you’re on track to meet your personal and family needs. If you’d like to connect with an advisor who will take the time to get to know you personally and develop a customized financial plan, contact Puckett & Sturgill Financial Group today to schedule a consultation.