As our retirement date draws closer, it’s important to reconsider and possibly adjust our various insurance coverages. Disability insurance, which typically ends benefits at age 65, may seem less cost-effective as the ratio of cost to benefit progressively increases. Therefore, as retirement approaches, it’s worth considering reducing or discontinuing coverage if you’ve accumulated substantial assets to cover your needs.

Life insurance is another coverage type to reconsider as retirement approaches. As we grow older, it becomes progressively more expensive, so if you have managed to accumulate assets to cover the needs related to passing, you can consider reducing or discontinifying this coverage too. However, certain instances, such as needing to pay estate taxes or having special needs heirs, may necessitate keeping life insurance.

Upon reaching retirement, health insurance often changes. For most people, Medicare Part A automatically kicks in at age 65, but others might choose employer-supplied insurance as primary coverage if they continue working. It’s important to be aware, though, that not enrolling for Medicare Parts B and D upon turning 65 or ceasing to work for a large employer might lead to penalties later. For comprehensive coverage, many people opt for a ‘Medigap’ policy.

Another type of insurance to consider, regardless of your age bracket, is long-term care insurance. This coverage is often obtained in one’s 50s or 60s and provides for extended care needs. Like all types of insurance, thoroughly discussing this with a fiduciary advisor is recommended.

Finally, it’s wise to reassess homeowners and auto coverage, especially if your circumstances change, like if you’re driving less because you’ve retired. It’s also advised to keep an umbrella liability insurance as it can protect your savings throughout your retirement years. An experienced insurance advisor can provide sound advice tailored specifically to your retirement needs.