Posts Tagged ‘life insurance’

Tuesday Filmstrip: Life Insurance Awareness

September 13th, 2011 by Iris | Comments Off | Filed in advice and how-tos, friday filmstrips, life insurance

We wanted to take a moment and remind everyone that September is Life Insurance Awareness Month. Do you have life insurance coverage? If you don’t, and believe that you don’t need it, please watch this video, and consider changing your mind:

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Tuesday Filmstrip: Calculating Life Insurance

September 6th, 2011 by Iris | Comments Off | Filed in advice and how-tos, friday filmstrips, life insurance

If you’re shopping for life insurance, it’s important to know how much life insurance to buy. Some people say you should merely multiply your salary by a factor of eight, but this week’s video offers a much more accurate method of determining how much coverage you should consider.

Enjoy.

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Five Reasons to Buy Permanent Life Insurance

July 13th, 2011 by Iris | Comments Off | Filed in life insurance

Many people think life insurance is a luxury they can’t afford, or is something that isn’t really necessary. While it’s true that some people live perfectly happy lives without life insurance, the reality is that these policies are meant to help the folks you leave behind.

Why consider a permanent life insurance policy? Here are five reasons:

  1. Money for Final Expenses: Burials are expensive, and if you’re 60 and live to be 90, that twenty-year term life insurance policy you bought from television isn’t going to be there when your loved ones have to pay for your funeral.
  2. To pay off your mortgage: If you’re the sole provider for your family, your death could leave them with a mortgage and no way to pay it, especially if you bought your home at a later age than most, or refinanced it to pay for college tuition or another large expense. Permanent life insurance will ensure that there is money to pay off the home, even if your term policy hasn’t come due yet.
  3. To cover estate taxes: If you’re fortunate enough to have a large estate, your family will be responsible for paying estate taxes after your death. If you purchase life insurance and put it in an ILIT (Irrevocable Life Insurance Trust), you can not only avoid leaving your heirs with a large tax bill, but also give them liquid assets with which to pay any taxes that cannot be avoided.
  4. To get the most out of your pension: When you retire, you might choose to take the highest possible payout option on your pension, but still leave income for your surviving spouse after your death. Permanent life insurance offers financial protection.
  5. To care for special needs children: If you have special needs children who are likely to outlive you, you’ll want to leave life insurance in place for after you’re gone. If you’re married, there’s an option called Survivorship Life Insurance which will provide for your spouse as well.

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Term Life Insurance Sales Down, Whole and Universal Up

July 11th, 2011 by Iris | Comments Off | Filed in life insurance

A.M. Best Co. has released results of a recent study which shows that last year, the face amount of life insurance issues declined 3.1% from the previous year, to a total of $2.87 trillion. On a business-issued basis, term life insurance saw a greater decline, decreasing 11.7% to $1.13 trillion, while group life business also dropped to $1.13 trillion, though in that case it only declined by 1.5%. The report, a compilation of five Statistical Studies featured in BestWeek looked at how much credit life, group life, ordinary life, term life and total life insurance was issued.

According to Andrew Edelsberg, a vice president in the life and health division of A.M. Best Co., the reason for lower term life insurance sales last year was a combination the sluggish economy and higher rates. He explained, “Term pricing generally increased as carriers were, in many cases, forced to self-fund Regulation XXX reserves as alternative solutions became relatively expensive.” Edelsberg added, “We saw an increase in whole life and universal life sales due to consumer’s demand for cash value policies, as well as universal life with no-lapse guarantees.”

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Friday Film Strip: Life Insurance and Age

July 1st, 2011 by Iris | Comments Off | Filed in advice and how-tos, friday filmstrips, life insurance

Many people have said that it’s never too early to buy life insurance, but does age really affect the cost? This video from YouTube and eHow answers that question.

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Missouri Hospitals Just Say No to Hiring Smokers

June 20th, 2011 by Iris | Comments Off | Filed in health insurance, life insurance

It’s long been known that having a smoking habit can affect what you pay for life insurance or health insurance, but starting next month, it will also mean you can’t get a job at seven of the hospitals in and around St. Louis, Missouri.

Beginning in July, 2011, applicants to work at SSM Health Care will be asked if they have used tobacco products in the last six months, and those who answer yes will be removed from consideration, a report in the St. Louis Post-Dispatch said.

Chris Sutton, a spokesperson with SSM explained, “As an organization that provides health care, we want to encourage our employees to take better care of themselves and set good examples for our patients.” Sutton said that since having, “…healthier employees does mean lower health care costs…” hospitals will save money.

A report from the Centers for Disease Control and Prevention estimates that every smoker costs a corporation about $3,400 a year in lost productivity and health care costs.

SSM facilities have all been smoke-free since 2004, and current employees who smoke won’t be required to adhere to the non-smoking policy when they’re off duty.

While this new policy only applies to the SSM hospitals in Missouri, there are about 6,000 companies around the country that have also stopped hiring smokers, says the New Jersey-based National Workrights Institute, and organization dedicated to workers’ rights issues. While this practice seems discriminatory, it’s allowed under Missouri state law for certain employers, including health care providers. Officials of SSM plan to lobby for similar legislation in Illinois, Oklahoma, and Wisconsin, where they operate other facilities.

Workers’ rights groups maintain that the shift to a smoke-free work force could lead to similar bans on other unhealthy-but-still-legal behaviors like eating fast food and drinking alcohol. Some are also concerned that anti-smoking policies such as the one espoused by SSM could be punishing for low-paid employees like cafeteria workers and janitors who are addicted to nicotine.

Michael Siegel, a professor at the Boston University School of Public Health put it this way: “If enough of these companies adopt these policies and it really becomes difficult for smokers to find jobs, there are going to be consequences. Unemployment is also bad for health.”

Health care providers are at the front of the trend away from employing people who smoke. The Cleveland Clinic stopped hiring smokers four years ago, and since then, hospitals in Texas, Tennessee, Pennsylvania, Ohio, Massachusetts, Georgia and Florida have done the same.

Another Missouri hospital, St. Francis Medical Center in Cape Girardeau also has a policy against hiring smokers. Explains hospital chief executive Steve Bjelich, “We felt it was unfair for employees who maintained healthy lifestyles to have to subsidize those who do not. Essentially that’s what happens.”

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Friday Filmstrip: Seniors and Life Insurance

June 10th, 2011 by Iris | Comments Off | Filed in friday filmstrips, life insurance

As our parents age – and as we age – we often consider cashing in our life insurance policies, especially if we’re living on a fixed income. But is this a wise choice? Many television ads say yes, but this news spot from a couple of years ago offers a different opinion.

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