If you’ve spent time looking at information about choosing the right amount of life insurance, you’ll have found some fairly standard answers, but also a lot of ambiguity. That’s because the amount of life insurance a person needs varies on a case-by-case basis. Still, just like with other kinds of financial management, industry experts have weighed in on what they feel is best for the average consumer.
One of these rules of thumb is taking out life insurance coverage equal to five to 10 times your salary. To many of us, that sounds like a lot of money. It’s only when you get into the details of figuring out how people use money over time that you realize that five to 10 times salary can actually be a pretty conservative estimate.
Here are some of the considerations you’ll want to think about and take into account:
Well, it has finally happened. Someone out in the vastness of the internet was able to obtain my personal information and use it to try to fraudulently withdraw funds from my accounts. But this was not the normal type of fraud. This was someone who contacted an insurance company where I owned my life insurance policies.
These fraudsters managed to change the mailing address on all of the policies id fraudalong with the email address the company had on record. Because these were permanent policies, they had accumulated substantial cash value over the years. So, the next day they requested the loan and surrender values on two of the policies.
Spring’s a good time to give your finances a good scrubbing. A lot may have changed in your life over the past year, and some seasonal touch-up work is a good way to stay on top of your finances and maybe save a little cash in the process. Time to get to work.
Medicare does not pay for long-term care services, as explained by the Social Security Administration: “Social Security pays retirement, disability, family and survivors benefits. Medicare, a separate program run by the Centers for Medicare & Medicaid Services, helps pay for inpatient hospital care, nursing care, doctors’ fees, drugs, and other medical services and supplies to people age 65 and older, as well as to people who have been receiving Social Security disability benefits for two years or more. Medicare does not pay for long-term care, so you may want to consider options for private insurance (emphasis added).”
Without proper planning, a serious accident or illness could rob you of your financial independence. Whether purchased for yourself, your spouse or for an aging parent, long-term care insurance can help protect assets accumulated over a lifetime from the ravages of long-term care costs.
The most common reason that people get declined for life insurance coverage is because they have a specific health condition, but it isn’t the only reason. I’d like to cover the top ones and let you know what your options might be.