What to Know About Leaving a Legacy Through Life Insurance
For many families, financial worries don’t disappear in retirement—they simply change shape. Instead of wondering how to accumulate savings, many retirees find themselves asking a different question:
“Can I enjoy my retirement without jeopardizing the legacy I hope to leave for my children?”
With rising healthcare costs, inflation, and longer life expectancies, it’s understandable to wonder whether your savings will stretch far enough. And for those who have saved well, another challenge often appears: balancing a fulfilling lifestyle today with the desire to support loved ones in the future
One surprisingly simple tool can help address both goals—life insurance.
How Life Insurance Can Protect Your Legacy
Life insurance is often thought of as a safety net designed to replace income when a family’s primary earner passes away unexpectedly. But insurance can serve many purposes, including helping families create or preserve a legacy.
For retirees who want to use their savings freely without the fear of “spending too much,” a well-chosen life insurance policy can offer reassurance. With the right coverage in place, you can enjoy the retirement you’ve planned—knowing your children will still receive a meaningful inheritance.
Why Term Life Insurance Is Often Considered
For legacy-planning purposes, term life insurance can be a practical option:
- It typically offers lower premiums than permanent insurance
- It covers you for a set period—often 10, 20, or 30 years
- It can provide a straightforward way to ensure heirs receive a designated amount
While not right for every situation, term life can offer clarity and affordability, especially for retirees who want to use their assets confidently and still leave something behind.
Enjoy Today Without Sacrificing Tomorrow
A common dilemma is choosing between:
- Spending savings to enjoy retirement
vs.
- Protecting those savings to leave a legacy
By using your retirement assets for your needs and lifestyle while securing a policy that creates a future benefit for your heirs, you gain flexibility—without sacrificing intention.
What to Consider Before Choosing a Policy
Every insurance decision should fit within your overall financial plan. Some factors to review include: Understand responsibilities
- How long you want coverage to last
- What amount you want to leave to your children
- Your current health and insurability
- How premiums fit into your long-term budget
- How insurance coordinates with estate planning goals
As with any financial strategy, the right solution depends on your personal goals and family dynamics.
A Clearer Path Forward
If you’re concerned about spending down too much of your retirement savings—or simply want confidence that your children will receive a thoughtful legacy—life insurance may be worth exploring.
We’re here to help you evaluate whether this strategy aligns with your broader goals and ensure it integrates smoothly into your financial plan.
Disclosures:
Advisory services are offered through Assurance Wealth Management, a Registered Investment Advisor in the State of Texas. Assurance Wealth Management is not affiliated with or endorsed by the Social Security Administration, Internal Revenue Service, or any other government agency.
Whenever you invest, you are at risk of loss of principal as the market fluctuates. Past performance is not indicative of future results. Purchases are subject to suitability. This requires a review of an investor’s objective, risk tolerance, and time horizons. Investing always involves risk and possible loss of capital.
All written content is for information purposes only. The information contained herein has been derived from sources believed to be reliable, but is not guaranteed as to accuracy or completeness and does not purport to be a complete analysis of the materials discussed. All information and ideas should be discussed in detail with your individual adviser prior to implementation.
