 | Judd Schossow is an Agent with Farm Bureau Financial Services at 219 S Ozark, Girard, KS. Judd has been an agent with Farm Bureau for 5 years, he can provide you with strategies for all stages of life: Vehicle, Homeowners, Farm, Business, Life Insurance, Annuities, and Investments. To schedule an appointment please call 620-724-4213 or email Judd.Schossow@fbfs.com |
Insurance
2012-02-28 12:25:44
Life insurance made easy
Q: There are so many options and things to consider when deciding on life insurance policies. Can this be broken down in some way to help me better understand the policy that’s best for me and my family?
A: Financial topics of any nature can be a minefield of emotion, confusion, frustration, and denial. Even an easy decision like whether or not to buy life insurance can turn into a volatile topic because it forces people to contemplate their own demise while trying to assess their family’s need. It’s easy to feel overwhelmed by facts and figures. To make the best decisions for you and your family and to avoid morbid distractions, try to stick to a few major life insurance concepts.
Concept 1: Need
Within this concept, you explore whether or not you actually need life insurance.
•If you die, will your family need
to replace your income? A life
insurance policy provides your
family with an easy way to replace
your income and maintain their
way of life.
•Would you like to set up a college
tuition fund for your children
through a life insurance policy?
Life insurance can satisfy your
desire to give your children an
edge in life with their education.
•Could your survivors use the life
insurance money to pay taxes or
debts? Life insurance can
help your survivors pay off their
inheritance taxes, mortgage, credit
card and other debts.
Concept 2: Amount
When determining how much life insurance you need, decide how much death benefit to buy.
•How much is your annual salary,
and how many years of that salary
would you like to replace? Your
spouse will need time to deal with
your loss. The larger your death
benefit, the more time he or she
will have to grieve.
•What are the anticipated tuition
costs for your children? By
working with historical tuition
costs and increases, you can
estimate the amount of money
your children will need for college
when they turn 18.
•What is your current debt?
Unless you buy a larger home or
a more expensive car, your debt
will decrease through the years.
To ensure you estimate enough of
a death benefit of a death benefit
to pay off debt, base your number
on your current debt.
Next month we’ll discuss the benefits and things to consider on Concept 3 “Type” and Concept 4 “Purchase”…
