Replacing a Policy

Careful consideration should be given to replacing a life insurance policy. Your age and health affect the cost of a policy as well as the insurer’s health requirements. If you already have a policy, chances are the premiums for it are less than for a new policy. Also, if you are much older or your health has deteriorated, you might have difficulty qualifying for a new policy.

In any policy, cash value takes time to build. If you replace your policy it may be sometime until the cash value on the new policy builds up. In some cases, the cash value of a new policy may never reach the value of the old policy. If you are looking for added benefits or changes, it is often better investigate the options of your current policy than to buy a new policy.

If your old policy has lapsed, there may be a chance that it could be reinstated (see Lapses and Surrenders).

Publications and Resources

What You Should Know About Life Insurance. An ACLI guide to help you choose the right life insurance products to meet your needs.

Tips on Buying Life Insurance (PDF). Choosing a life insurance product is an important decision. As with any major purchase, it is important to understand your family's needs and the options available. Use this list of buying tips to help you choose.

State Insurance Department Directory. The State Insurance Department Directory, with contact information for 50 states, the District of Columbia, Puerto Rico, Guam, and the U.S. Virgin Islands. Includes names and phone numbers for key personnel and specific subject contacts.