how much life insurance do I need - Spencer Insurance Agency, Inc

The Devil is in the details Part 2

Life insurance can be purchased online.  Is that a good idea?

  • What happens when your 20 year term rate guarantee is up and you still need coverage?
  • What happens if you become disabled and can’t afford the life insurance premium?
  • How do you change beneficiaries?
  • Did you know naming minor children as contingent beneficiaries is a bad idea?
  • What should you do with your life insurance if you get separated or divorced?

Yes, the devil is in the details.  Contact Spencer Insurance Agency  for a life insurance quote or review.  Charlie and Steve has over 30 years of experience in life insurance.  Charlie has earned his CLU (Certified Life Underwriter) designation.

Your home is insured for replacement cost, ARE YOU?

September is Life Insurance Awareness month. I know every month has about 10 titles but I think “Life Insurance Awareness Month” is a great time to remind people not to put off any longer what they know they need, Life Insurance. Spencer Insurance is here to help you.  We have a lot of information on our website to help you understand life insurance.  Here are a few:

Talk to our life insurance specialist to discuss how much life insurance you need and what type you should purchase.  Did you know that you can now purchase a Long Term Care Rider on life insurance policies which allows you to accelerate your death benefit to pay for Long Term Care costs? Check out these articles and give us a call at 215-885-2200 for a life insurance review.

FAQ: Should I purchase the supplemental Life Insurance offered by my employer?

Life insurance awareness  month

Life insurance awareness month

September is Life Insurance Awareness Month. 

Soon many employers will have Open Enrollment for their benefit plans.  Most employees wait until it is too late to review choices.

If you are currently purchasing life insurance in a Employer Group Plan then pay attention.  You may be paying too much! Here is an answer to the question we frequently here from our clients.  Plan now as it takes about 4 to 6 weeks for a life insurance policy to be approved.  You may not time if you wait until Open Enrollment!

A: Most companies will hold their open enrollment period where an employee can change their group coverage. Many employers offer Group Life Insurance coverage and some of this coverage may be provided free as an employee benefit.  Many times you can purchase supplemental coverage and the cost will be deducted from your paycheck. Should I buy this additional coverage? There are pros and cons… 

Here are the pros:

  • Very convenient as the premium is deducted from your paycheck
  • Few medical questions are asked so it is easier to apply
  • No blood tests or other lab work is required
  • Many times the rates are blended with non-smoker rates making them lower for smokers
  • Many times the rates are unisex which will make male rates less expensive 

Here are the cons:

  • Group life rates are banded, based on rates that typically increase every 5 years
  • Group life rates are blended so if you are a healthy non-smoker you could get the same rate as a chain-smoking unhealthy person
  • The amount of life insurance you can purchase is limited and may not be sufficient for your needs
  • You may lose the coverage if you leave the employer
  • Rates can increase immediately if the employer chooses a new life insurance company

What should I do?

Contact us today at 215-885-2200 to review your life insurance needs and the cost of your employer’s life insurance coverage before your next open enrollment.  Most open enrollments happen in the fall so this is a great time to review that coverage.

Consider purchasing life insurance on your own for the following reasons:

  • You can lock into a rate for up to 30 years.  The cost of your employer group coverage changes based on age bands every 5 years. Your coverage may look inexpensive now but what will you be paying in 10 years?
  • You won’t lose your life insurance coverage if you get laid-off or change jobs
  • If you are a healthy non-smoker you may find less expensive rates
  • You will be able to purchase the amount you need

Go to our website http://spencerinsurance.com/insurance-quotes/life/  for more information and a free report “What you need to know about Life Insurance and How to Make sure the People You Intended to get your Life Insurance Benefits Actually Get the Benefits!”

Check it out before it is too late!

 

 

 

 

September is Life Insurance Awareness month!

We live for life’s wondrous moments whether it’s a baby’s first step, graduation, or retirement.  Life Insurance helps to ensure the life you’ve built for your loved ones won’t come to a halt if something were to happen to you.  It’s never too early or too late to consider all the things life insurance can do for your family.

Spencer Insurance Agency has many resources to help educate you on solutions to your life insurance needs.  Our agency wants to make sure you coordinate your life insurance planning with a financial planner, estate attorney, and us.

Part of our review of your life insurance needs is to make sure you have a will and that the will has been updated recently.  We want to make sure the people you want to receive your life insurance proceeds when you die actually get them.  I wrote a report on this subject called “What you need to know about Life Insurance. . . How to make sure the People You Intended to get your Life Insurance Benefits Actually Get the Benefits.

Many people ask “How Much Life Insurance do I need?  I will help have a discussion with you that includes four factors that will give you an answer to that question.

Another frequent question I hear is “Should I purchase supplemental Life Insurance offered by my employer?  There are pros and cons to purchasing your life insurance in a group plan.  Check out this article for the pros and cons.

Lastly, DO NOT PROCRASTINATE!  A friend of mine, Rachel, told me her story.  Read Rachel Story to see how waiting for the right time to buy life insurance can be devastating.  If you wait too long you may not be able to buy life insurance.

Call us today for a review of your life insurance needs.  Even if you have some life insurance call us at 215-885-2200 to make sure it is still performing the way it was set up to perform.

Don’t forget to protect your family while you enjoy your summer activities!

life-family

One of our responsibilities at Spencer Insurance Agency is to make sure you have the proper protection so you can go out and enjoy what you like to do.

For example, many of our clients like to waterski, snorkel, scuba dive, Jet Ski, rock climb and ride motorcycles and ATV. You work hard so you should go out and enjoy yourself.

Some of these activities have special risks associated with them.  Make sure you protect your families so you can enjoy these activities.  These activities present a higher risk when purchasing life and disability insurance.  Let us help you make sure you are properly protected with life and disability insurance.

You should be thinking about reviewing your life insurance when you have a life changing event such as buying a home, getting married, having a baby, separating, downsizing, and retiring.  Our website has a section that gives you some tips on what you need to do when you have these life changing events.  Check it out!

Unfortunately, many of us wait until it is too late to purchase life and disability insurance.  A friend, Rachel was kind enough to share her story with us.  Check out Rachel’s Story.

Call us today at 215-885-2200 to review your life and disability insurance.  It could be critical to your family’s financial future.

 

Do you know how to get your annual Social Security Statement?

retirement crossroads

 

Many clients have asked me this question:  “In the past I received my Social Security statement by mail near my birthday. I have not received one recently, what happened?”

The U.S. Social Security Administration no longer mails the statements.  You can still get your statement annually by creating an online account on “My Social Security.” Visit www.socialsecurity.gov/myaccount and click where it says “Create an Account.”

To set up an account you need to be 18 years old and have a valid email address, social security number and U.S. mailing address.  When you set it up you will be asked for some personal information to verify your identity.

After you set up your account you will be able to get your Social Security Statement and can print or save the statement.  This statement is very valuable when planning your financial and life insurance needs.  It also tells you your options for your benefits at retirement, disability benefits, and your family survivor benefit.

If you have any questions call our office at 215-885-2200.  This statement is a valuable tool when reviewing your estate and retirement plans.  Let us know by commenting if you were successful in setting up your account.

 

Your home is insured for its replacement cost, are you?

When we are discussing homeowner’s insurance we talk about the replacement cost of your home.  The replacement cost of your home is the amount of money you will need to rebuild your home if it was totally destroyed.  You insure it for that amount because you don’t want to lose one of your largest assets, your home.

Can you answer this question?  What is your Replacement Cost?  No, not your home’s replacement cost but YOUR replacement cost.  What will it take to replace your income if you die or become disabled?

The chance of a house fire is 2 in 100.  The chance that you will become disabled is 12 in 200.  The chance of you needing assisted living is one in two and the chance that you will die is 100%.

 Think about that: We all insure our homes for replacement value, but do you insure yourself for your replacement value?  You buy medical insurance so your doctor and hospital get paid if you are sick or injured.  Do you buy insurance so your family will continue to receive your income if you are sick, injured, or deceased?

Your future income is your family’s largest asset.  But most often people insure it for just a fraction of its true value or not at all.  We can sit down with you and do a simple review of your replacement value.  Make sure your family is properly protected.

Don’t wait! Don’t ask yourself “How much Life Insurance do I need now?  Remember the death rate is still 100 %.  It is not a matter of “If” I will die, but “When” I will die!  Ask yourself “When I die how will my family survive without my income?”  Then call us so we can sit down and see how much life insurance your family needs you to have when you die.

Even if you have some life insurance, let us review it with you.  We may find out that the beneficiary is not the person you intended or that you can purchase more protection for the price you are paying now.

Make this commitment to your family, “I will review my life insurance needs NOW!”  Nobody wants to buy life insurance, but most of us want our families to continue to receive our income if we die. Call us today so we can make that happen. Or contact us through our website.

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