SCC Offers National Life Insurance Awareness Month Reminders

Many American families would face financial hardship if a wage earner died unexpectedly. Life Insurance Awareness Month – celebrated each September – is a reminder that life insurance can help protect your loved ones financially now and in the future.

The State Corporation Commission’s (SCC) Bureau of Insurance (Bureau) reminds Virginians that there are many factors to consider when determining if life insurance is right for you and your family.

“Life insurance is an important decision when considering your family’s financial future,” said Virginia Insurance Commissioner Scott A. White.  “Examine your existing financial resources, debts and other liabilities, as well as your family’s needs and goals. Understand the different types of life insurance and shop around to compare prices and coverage.”

White encourages Virginians who already have life insurance to review their policies regularly to ensure their coverage keeps pace with their changing circumstances.Life events such as a marriage, birth, divorce, remarriage or other changes affecting your finances (such as a new mortgage or a new job) may trigger a need to update your life insurance policy.

If you do not have life insurance, shop around and understand the different types of policies available and the costs.

Consider the following when determining how much life insurance you may need: Does your spouse or partner work? Do you have any sources of income other than salary? Do you have life insurance through your job? Are there financial obligations that may fall upon family members if you die, such as a mortgage or rent, business expenses, medical expenses, car loans or student loans? How much money may you need for short-term and long-term goals, such as retirement, providing care for a loved one or your children’s education?

Understand the types of life insurance available – term life or permanent – and how benefits are paid when you die. What you pay for life insurance (premiums) depends on the type of policy you choose, your health status, age, gender, occupation, family health history and lifestyle.

When considering life insurance options, compare premiums, coverage and claims service.  Talk to an insurance agent or company or contact the Bureau of Insurance in Richmond at 804-371-9741 or toll-free at 1-877-310-6560 for questions or to verify that the company or individual offering the coverage is licensed and in good standing. The Bureau’s free Virginia Life Insurance Consumer Guide provides answers to many life insurance questions. That guide is available on the Bureau’s website at scc.virginia.gov/pages/Tips,-Guides-Publications.

The National Association of Insurance Commissioners (NAIC) offers a free Life Insurance Policy Locator Service that can help consumers find lost life insurance policies and annuity contracts. To learn more about the Locator Service, visit content.naic.org/article/naic-life-insurance-policy-locator-helps-consumers-find-lost-life-insurance-benefits.

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Contact: Katha Treanor, 804-371-9141