Life is full of milestones – marriage, babies, houses, new jobs. Life insurance protects your family through all those moments, especially the unexpected ones.

As your situation changes, your life insurance needs might change, too. That’s why it’s smart to review your policy regularly to make sure it covers everything it should.

When to increase your coverage

First off: Congratulations on taking the step to protect your family with life insurance. Now that you’ve taken that step, you’ll want to check in periodically to make sure you’re covered appropriately.

According to one industry study, nearly 50% of all households with insurance are underinsured. This is partly because families may When you get married (or remarried)

If you got a life insurance policy when you were single, you might need more coverage with a partner. A bigger policy means your spouse can replace your income after you’re gone, and cover end-of-life expenses or leftover debts. The same goes for getting remarried: If you’re tying the knot again, evaluate your coverage and make sure it’s sufficient to cover you and your new spouse’s needs.

When your family grows

A new baby, new stepchild, or adoption means more people are depending on you. By increasing your coverage, you can ensure that expenses like childcare and educational costs are covered.

If you’re caring for aging parents

According to the National Alliance for Caregiving and AARP, over 34 million Americans have filled unpaid caregiver roles for older family members. If you’re one of them, greater coverage can help cover costs like home health care or a nursing home stay.

When you buy a house or move to a new house

A mortgage is a big rite of passage – and also a good sign that it’s time for more protection. Make sure you can pay off your house no matter what and that your family won’t be uprooted if the worst happens. Upgrading to a bigger place? A larger mortgage often means you need more life insurance to protect your family.

When you get a raise

Earning more? Adding more life insurance coverage can preserve your family’s new quality of life, just in case. While there’s no “one size fits all” number for coverage, a good rule of thumb for your policy is setting a payout at 7 to 10 times your current annual income.

Need help figuring out how much you need? Try our Learn and Plan calculator, which is an insurance calculator built to help you find the best rates.

How to increase your life insurance policy

Need to adjust your coverage? If you just bought your policy, you may be able to boost your coverage amount with Fidelity Life by completing a health form. After that, you’ll need to reapply to adjust your coverage. Our team can help walk you through the process.

Another way to increase your protection is by “laddering” multiple policies. For example, if you bought a $250,000 20-year term policy 10 years ago, you can apply for another $250,000 10-year policy if you need extra protection. That additional policy will bring your total coverage up to $500,000 for the next decade, while letting you keep your current rate with your original policy.

Don’t forget: Rates go up as you get older, no matter if you’re buying term life or universal life insurance It’s important to plan ahead and buy what you think you’ll need early on to get the best rates.

Still have questions? Get in touch with us to talk to an agent or start your online quote today.

At Fidelity Life, our goal is to make life insurance simple, affordable, and understandable for everyday families. This content is intended for educational purposes only. Each post is carefully fact-checked, reviewed, and updated regularly to ensure the information is as relevant as possible.