My Employer Offers Life Insurance-Do I Need More?

It’s pretty common for employers to offer life insurance as a benefit to their employees, in some cases at little or no cost. This is a popular addition to compensation packages because it allows employees to not have to worry about using their hard-earned wages to secure their future for the event of emergencies. However, may people mistakenly believe that this employer-provided policy is enough to protect them from anything that could happen. Here are a few reasons why investing a few extra dollars per month in a supplemental plan is a wise idea.

You May Lose Your Job

Business can be a fickle beast. One month your company may be growing at a rapid rate and the next the income could dry up, leading to downsizing and layoffs. Your job most likely isn’t as secure as you’d like it to be, and that means your life insurance benefits could come to an end when you least expect.

Coverage May End

Not all employers who offer life insurance continue to offer it when you reach a certain age or choose to retire due to high costs. Purchasing your own policy can help you avoid these potential policy-ending conditions and even provide you with protection that’s better-tailored to your life at that point.

Your Employer Can Stop Offering Coverage

Your employer may not keep life insurance around as a benefit forever. In fact, you could learn that your life insurance benefit is either going to rise dramatically in cost or even no longer be offered very soon. Having your own life insurance policy can help ensure you’re still covered if something happens.

Your Options Are Limited

Most employers don’t offer a wide range of life insurance policy products to their workers. Not only is this tremendously expensive, but it takes a large HR department to keep it all organized. Odds are you probably have one or possibly even two different policy choices, which means you probably aren’t going to be able to find the perfect policy through them. Investing in your own policy can ensure you get the protection you need for your loved ones, regardless of the fit your employer’s plan offers.