September is Life Insurance Awareness Month

September is Life Insurance Awareness Month, and it’s a great reminder that life insurance isn’t just about preparing for the unexpected – it’s a key part of a smart, long-term financial plan.

Here’s how life insurance fits into the bigger picture:

• Wealth protection – Life insurance helps replace income and cover essential expenses. According to LIMRA, 44% of U.S. households would face financial hardship within six months if the primary wage earner passed away. 25% would struggle within a month.
• Estate planning – Life insurance proceeds can help your loved ones cover estate taxes and settle your affairs without selling off important assets.
• Debt management – Policies can be structured to pay off mortgages, loans, and credit cards, helping to protect your family from financial strain.
• Long-term security – Certain policies accumulate cash value, which can be used for emergencies, college tuition, or supplementing retirement income.

Experts often suggest having life insurance coverage that equals eight to 10 times your annual income, though the right amount varies depending on your family’s needs, debt, and long-term goals.

If you’re unsure whether your current coverage is enough, or if you’ve had major life changes recently, it may be time for a quick review. In fact, 42% of all American adults say they either need to get life insurance or need more of it.