Over the years, I have worked with so many clients who when they are applying for life insurance are shocked when they are declined or “health rated” lower than they anticipated. So I thought it would be insightful to look at a few things everyone should know when applying for health insurance: what carriers look at and how they make decisions.
Read More$20 to $30 per month can save you and your family from financial ruin. You insure your cars, your houses and maybe carry some liability insurance but overlook the one thing that can truly “save your bacon” if something really bad happens in your home ,on your property or while driving your cars. The good thing is that what may be your savior, at least from financial ruin, costs only a fraction of what those other policies cost.
Read MoreI hate to sound like a Harvard Economist, but it depends. Insurance is a tool, nothing more and nothing less. You don’t buy the tool but the solution to the problem it solves. You don’t buy a hammer, but as a solution to drive a nail in a wall. You don’t buy a saw but the solution to creating two two shorter pieces of wood from one long one. And like any tool, the size of that tool depends on the problem you want to solve. You may need a shovel, but the size of the shovel depends on if you are planting a tree in your yard or digging a foundation for an office building.
Read More“You can get $500,000 of term life insurance for as little as $30.00 a month.” OR “A 50 year old man can qualify for $1,000,000 of term life insurance, for as little as $2.50 per day.”
These are just a couple of ads you might see, and for the most part, they are true. Now the devil is in the details here. Premiums for both permanent and term insurance are based on a number of factors including the health of the applicant, age, tobacco, or non-tobacco, and term insurance premiums rise the longer “the term” being insured (a ten year term policy is a whole lot cheaper than a thirty year term policy). The key words in both of the ads are “term life insurance” which is usually much less expensive (in the short term) than permanent and universal life policies.
OK, here is the deal: I am a healthy forty five (45) year old male and will make you the following financial proposition:
I will pay you $202.00 per month and if I were to die anytime in the next thirty five (35) years, you will pay my family $1,000,000 in tax free cash. Before you make your decision, let me add a caveat: No matter what happens to me health-wise from this day forward for the next thirty five years, the deal is unchanged, even if I…
