Insurance Expert Suggests Getting Annual Review Of Life Insurance Policy
By Lynne Adkins
VOORHEES, NJ (CBS) -- If you've had your life insurance policy for awhile, you need to give it the once over.
National Insurance Awareness Day is June 28, so now is the perfect time.
If you own a permanent life insurance policy you should have it reviewed yearly, according to Ron Sussman, CEO of CPI Companies in Voorhees.
Those policies are designed last for your lifetime and premiums may be tied to interest rates. Sussman says a recent survey shows a lot of people don't understand that when interest rates are low, premiums may not be high enough to keep the policy in place.
"Sixty percent of the people who were interviewed thought that their benefits were set in stone, which is in fact not true, the vast majority of those polices are subject to interest rates in terms of direct interest rate or dividend reduction."
He says an annual financial review could prevent that policy from lapsing, leaving you stranded.
