Planning for retirement is mostly focused on the need for consistent, lifelong income. But comprehensive planning should also include protecting financial assets. The loss of a spouse can significantly affect the surviving spouse’s ability to retire. In addition, a significant medical event can diminish unprotected assets and the cost of a chronic or critical illness can devastate any retirement plan.
The death benefit life insurance provides can finish funding the surviving spouse’s retirement plan. Did you know that life insurance with living benefits can also provide financial resources, while living, in the event of a serious illness?
Yes, life-saving therapies exist, but some are priced at such staggering levels (in the hundreds of thousands of dollars) that availability and affordability is limited. We must ask: At what point does the affordability of these expensive treatments override the benefits they provide?
While no one likes to think about the possibility of illness, planning for the unknown is important and there is an option to consider when estate planning and planning for retirement: life insurance with living benefits.
In addition to a life insurance policy death benefit, a policy with accelerated benefits riders may also provide living benefits in the event of certain medical conditions including heart attack, stroke or cancer. Based on the severity of the illness–minor to life threatening–the policy owner may elect to receive some, or all, of their death benefit while they are living.1
Just as planning to live a long life in retirement is important, it is also important to plan for the unknown. Risk in retirement planning comes in different forms. Your comprehensive financial strategy should provide maximum flexibility for all of life’s contingencies. In addition to planning for your accumulation and income needs, risk protection through permanent life insurance with living benefits can further enhance your retirement plan.
Watch this video to learn more about life insurance with living benefits
Payment of Accelerated Benefits will reduce the Cash Value and Death Benefit otherwise payable under the policy. Receipt of Accelerated Benefits may be a taxable event, may affect your eligibility for public assistance programs, and may reduce or eliminate other policy and rider benefits. Please consult your personal tax advisor to determine the tax status of any benefits paid under this rider and with social service agencies concerning how receipt of such a payment will affect you.
Riders are supplemental benefits that can be added to a life insurance policy and are not suitable unless you also have a need for life insurance. Riders are optional, may require additional premium and may not be available in all states or on all products. This is not a solicitation of any specific insurance policy.
TC118946(0121)3
