Riders are, essentially, policy add-ons that provide additional types of coverages—sometimes at no cost.3 When combined, the base policy and the riders can help you build a customized policy to fit your specific needs beyond just the living benefits. An income for life rider, for example, offers cash values that can be used to produce a guaranteed stream of payments to the policyholder.
In the years leading up to retirement, the greatest risk is premature death. At this stage, the biggest concerns are most likely income replacement, mortgage debt payoff, and funding college education. Many opt for term life insurance during this time, which can help safeguard family members with simple and straightforward protection against premature death.
In retirement, though, risks change dramatically. Most likely, children are independent and through college. But rising health care costs and a potential reduction in Social Security income with the death of a spouse affects many retirees. Financial risks such as inflation, market volatility, low interest rates, and an increase in tax rates may threaten financial security.
Permanent life insurance can play a role in maintaining peace of mind in retirement by increasing income and providing withdrawal and loan options. For example, an index universal life policy—a form of permanent life insurance—offers flexibility in premium payments in addition to lifetime coverage, cash value and a tax-free end-of-life benefit1, all while protecting you from market risk.
Customize your choices
Today’s life insurance is a versatile tool to establish and maintain financial protection. Discover your options with a financial professional today.