Money Talks....

Welcome to this issue of Money Talks…. So, we have been talking about life insurance.  If you seen our Facebook Live with John Eads this week we talked about life insurance from the funeral home perspective.  One of the things we talked about was the cost for a funeral: burial $15,000-$20,000 and cremation starts at $2,500.  70% of American families would be bankrupt in months if they lost the primary breadwinner.   Simply put life insurance is a way to provide financial protection for your loved ones in their most vulnerable moment.  A life insurance policy ensures that if you die while your policy is active your loved ones receive a lump sum payout – tax free, known as a death benefit.   The death benefit covers things like mortgage/rent, education cost, funeral arrangements, etc.  So how much coverage do you need?  Things to consider:

-          What is your mortgage balance?

-          How much debt do you have?  Personal loans, student loans, credit card debt, car loans, tax debt owed to IRS.

-          How much life insurance do you currently have?

-          The current life insurance you currently own, is it personal or work?

-          How much do you have in savings?

-          How much do you have in investments/401k/IRAs?  Will you die in a up or down market?

-          What is your annual income?

-          Who makes up your immediate family?

-          Does your spouse work?  Do you need to replace your income?

-          Do you have children in school?  Are there educational cost currently or future?

-          Do you want your family to be able to remain in the home? 

-          Do you want them to be able to keep the same lifestyle?

-          When was the last time you did a review?

Life Insurance Statistics:

-          Only 54% of Americans are insured.

-          66% of those insured buy life insurance to transfer wealth.

-          44% of millennials over estimate the cost of insurance by 5x.

-          29% of all consumers say they would buy life insurance online.

-          80% of consumers say life insurance is a relevant financial planning topic for their household.

So are you covered?  Once you are sick, it’s too late.  Contact us today to do a review.

Until next time,

Diane