Why Invest in Life Insurance When the Kids Have Left the Nest?

Empty nesters are the loving parents who have toiled hard and provided for their children long enough to see them educated and moving on to the next stages of their lives. As children move out of their parent’s homes, the home is then officially an empty nest.

An empty nest gives parents the chance to plan ahead for the next stage of their lives too, where they can choose to pursue the dreams they have been keeping on hold while raising their children. With fewer expenses and more time on their hands, life insurance becomes a necessity now more than ever.

10 Reasons Why Life Insurance is a Necessity for Empty Nesters

For empty nesters, life insurance works as a financial safety net against unforeseen happenings, since with the children now gone, parents are liable to look out for one another.

These reasons explain why life insurance is necessary even when your kids have grown up and left the nest:

1. To provide for additional funds for the children
   You never know when you children might need a helping hand even with a good job in their hands, if life throws them a curve ball. What about their educational loans, are they all cleared up? Life insurance can help meet these expenses with ease.

2. To support your own aging parents or disabled children
   If you have aging parents or disabled children depending on you for support, investing in a life insurance policy can help a great deal in securing their future and financial security if something were to happen to you.

3. To provision for the reduced Social Security of the survivor’s benefits
   In case one spouse dies and the surviving spouse has been utilizing his or her social security before the ideal age, they are bound to receive a fairly reduced amount due to the decreased death benefit. Life insurance helps with damage control.

4. To cover the financial security of the surviving spouse
   With the nest empty, you have to now make sure your spouse will be taken care of in the event of your demise. Purchasing an insurance policy secures their financial future and helps them retain independence, living standards and meet routine expenses.

5. To make up for lost retirement savings
   In case of your demise, your spouse will need something to compensate for lost pension benefits and possible IRA distributions, technically all the lost retirement savings up until your demise. This financial void can be filled with a life insurance policy.

6. To meet the expenses that were being cleared through dual income
   If both you and your spouse are working and receiving a monthly income, then post your demise your spouse might require additional funds to maintain the basic standard of living that they are accustomed to. A life insurance plan is sure to help with that.

7. To cover the unplanned expenses caused by an early demise
   If you happen to pass away unexpectedly, then there should be provisions made for the family to meet the expenses caused by your death. This includes funds for obvious expenses that will be required to pay off medical, funeral and other necessary bills.

8. To create an emergency fund for lean times
   Investing in life insurance is a great way to create an emergency fund that acts like a safety net, giving you peace mind and building up a secure source of money you can dip into in case of emergencies.

9. To cover lost income if a spouse dies after beginning Social Security retirement benefits
   When one spouse dies, the surviving spouse stops getting the dual social security retirement benefits you both used to receive, and gets only one. It’s important to consider whether the continuing benefit is enough to cover their living standards.

10. To leave a legacy behind for your heirs and chosen charities
    No matter who you are, what you do and how much you make, you have a legacy to pass on, either to your heirs or to charities that are close to your heart. A life insurance policy is the ideal way to pass on your legacy.