With retirement funds getting slashed and jobs being cut many people are looking at cutting back.  One of the first areas to get cut is life insurance premiums.  Is this a good idea?  Generally, no.  Scaling back your insurance during these tough times can be very unwise.  Not just life insurance, of course, but all insurance is intended to reduce risk.  It’s a gamble essentially.  It is likely that your risk profile has not changed dramatically and therefore, its advisable to continue paying premiums, and maybe even, increase your coverage.  Many people will argue that at some point they have to cut something from their budget.  Perhaps, however, it is too easy to cut life insurance because we may never see the benefits of this cost.  There is nothing tangible in our hands for paying life insurance premiums.