So you have life insurance from the company that you work for. While that is a great benefit to have, it should not stop you from considering and even purchasing a separate policy. There are many reasons for this that people often do not think about and consider. However, before you start relying on your employer sponsored life insurance plan as your only plan, take a look at these reasons to consider getting a supplemental life insurance policy.
- Employer sponsored life insurance policies typically do not provide enough coverage. Many companies offer employees life insurance equal to one to two times their annual salary. Experts say that people need to have coverage that equals anywhere between five and seven times their annual salary. If your life insurance provided by your employer does not hit that mark, you should look at a supplemental policy.
- You cannot take the policy with you. If you leave the company at any time, you also lose your life insurance coverage that was provided as a benefit. This is not like health insurance where you can continue the coverage after you have left for a higher fee. You will have to search for a new policy to make up the difference or you will be without it.
- You are limited in your options. If you only have the plan provided by your employer, then you get what they have chosen for you. You do not get to decide between plans, usually, and the plan they have may not even meet your needs.
For more information on this subject or to explore your life insurance options, be sure to contact Jeff Hutchison Insurance Services serving Proctorville, OH. They can help you find the right supplemental life insurance policy so that you are prepared for anything that comes your way.