The right insurance can help you achieve your retirement goals by covering unexpected expenses and providing a lasting income in retirement. While healthcare and long-term care insurance will help pay for illnesses and injuries, there are insurance policies, annuities, and riders than can provide income to support your lifestyle in retirement.

Cash-value life insurance is a type of permanent life insurance designed to help you save money over time. Part of the premium goes toward the cost of the policy and the remainder to a tax-deferred savings or investment account. How your cash-value grows depends on the type of life insurance policy you choose – Whole, Universal, Variable, or Indexed. Income can be withdrawn directly from the cash-value or borrowed against it. This type of policy is often used to transfer generational wealth as it grows tax-deferred and pays out a tax-free death benefit. Funds are transferred directly to your beneficiary avoiding probate.  

Fixed-Indexed Annuities are insurance programs tied to a market index and protected from market downturns. Your investment will never be lost, and gains are limited but locked in – which is why FIAs are considered a safe yet conservative investment option. A lifetime income rider can be elected when the policy is purchased to provide a regular income in retirement. Younger people purchase this type of annuity to grow money safely while older people often move their money from the stock market to an FIA to protect their nest egg. Income can be withdrawn annually, or the policy can be cashed out. FIAs also provide a death benefit that will be directly transferred to beneficiaries. 

There are fees and strings attached with all insurance policies, so we encourage you to contact us for assistance. Alloy Wealth Management will customize an insurance program tailored specifically to your needs. Call 800-689-3935 to schedule an appointment.