Can You Have More Than One Life Insurance Policy?

Understanding Changes and Multi-Policy Options in Life Insurance

Life insurance plays a crucial role in financial planning. After procuring a life insurance policy, you may want to modify it or purchase another one. What changes are allowed, and can one hold more than one life insurance policy? Let’s explore.

Changing a Life Insurance Policy

Life insurance policies come in different forms, including but not limited to term and whole life policies. Regardless of the policy type, you can always amend the policy’s beneficiary. Thus, if buying another policy merely to add a beneficiary is your goal, you don’t need an extra policy for this purpose. You can simply communicate with your Front Range Insurance Services insurance representative in Littleton, CO.

Is More Than One Life Insurance Policy Allowed?

Yes, you can legally have more than one life insurance policy. However, many insurance applications explicitly ask whether you already have insurance, and it’s important to answer this question honestly. Affirming this does not automatically disqualify you from obtaining a second or even third policy.

Why Have Multiple Life Insurance Policies?

Several valid reasons explain why one might choose to have more than one policy. For instance, you might want to carry both a term life and a whole life policy since their terms significantly differ. Major life events like family expansions may prompt you to consider an additional policy. Some insurance companies do not allow for increased benefits; thus, purchasing an extra policy may cater to increased needs.

At Front Range Insurance Services in Littleton, CO, we offer an assortment of life insurance policies to accommodate your current and future needs. Feel free to contact us today for more information.