• Create BookmarkCreate Bookmark
  • Create Note or TagCreate Note or Tag
  • PrintPrint
Share this Page URL
Help

Chapter 9. Insurance and Annuities > Insuring Preretirement Needs

Insuring Preretirement Needs

You may find it easier to break risks down into preretirement and postretirement categories. Take life insurance as an example. Life insurance is most necessary during the years when you and/or your spouse are generating income and you have children who need clothing, shelter, and education. This is when the need for life insurance is typically at its peak because there is a dire need to fund ongoing responsibilities should someone die prematurely.

Bring back the point I made earlier—you don't insure liabilities, you insure assets. As you grow older and you build assets, those assets can offset the need for insurance unless you want to protect the assets in your estate because your life insurance needs could remain constant. Estate planning is a critical part of your overall financial plan but not a primary focus in this book, other than funding any estate needs that impact your retirement planning. You'll learn more about the need for estate planning in Chapter 12.


PREVIEW

                                                                          

Not a subscriber?

Start A Free Trial


  
  • Creative Edge
  • Create BookmarkCreate Bookmark
  • Create Note or TagCreate Note or Tag
  • PrintPrint