By Erica Grado, for USBA
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You made your resolutions, you watched the ball drop and the New Year has been properly welcomed. Now it’s time to put away the novelty glasses and make sure your finances are in shape for 2018. Adjusting your budget now that the heavy spending holiday season is over, preparing your taxes and making sure you’ve got the right protection for your loved one’s financial security.
There’s a good chance you’ve had some changes in your life since you first got your military life insurance. A change in any of the following areas calls for reevaluation of your life insurance.
Family Status
2,239 babies are born every day in the United States. If your family has recently grown, you may need to increase the amount of your life insurance. If you were to die unexpectedly, your paycheck would no longer be there to help cover daily living expenses for your family as well as future plans such as college. It’s essential you have enough to cover all your loved ones.
Marital Status
If you were one of the approximately 81,307 couples joined in marriage this last year, congratulations! It’s time you and your spouse discuss how much coverage you’d need now that your household income is combined. If you’ve divorced, your coverage may also need adjusting because of changes in your personal responsibilities.
Beneficiary
Take stock of your household. Consider who is dependent on your income be it spouses, children, or cohabiters, if you’re one of the 1 in 5 American who live in a multigenerational home. It may be time to update your beneficiary. Even if who your beneficiary is hasn’t changed, now is a good time to make sure their personal information like their address is up to date. Making sure your life insurance company has the most updated information for your beneficiaries will ensure a smooth and efficient process for your loved ones at the time of a claim.
Health
The average American spends $10,345 on medical expenses each year, however, positive lifestyle changes like diet, exercise and quitting smoking can reduce your health risks. Did you know it may qualify you for a lower life insurance rate? Check with your life insurance provider to see if your overall health improvements could save you money. If not, it might be time to compare rates with associations like USBA, who have affordable plans specifically designed for military families.
Housing Situation
A projected 5.78 million homes will be sold in 2018. Are you a new homeowner? Now is the time to make sure your family is financially secure if something were to happen to you. Life insurance helps provide families with financial stability after losing a loved one. Having enough insurance benefits to help cover mortgage payments can provide peace of mind.
Make sure you are prepared for the year ahead by reviewing your life insurance coverage this January. Doing this annual review is a good idea for every service member and spouse —whether currently serving, particularly if facing a deployment, transitioning, out of the military or retired.
If you’d like help or have questions, contact a friendly USBA Product Specialist for a free needs assessment and no-obligation quote at 1-800-821-7912 or https://www.usba.com/contact.asp. We’re here to serve you.
Source Material obtained from research compiled at Statista.com
*USBA is a paid client of Military Spouse.
