Hi, I have been an agent for over 28 years and just giving someone an amount to buy is a huge disservice!! If someone isn't sitting down with their clients and working with what they need and where they want to go, anything will help in that horrible time of loss, but may not be what is needed. Term is great for short term needs, but things like actual burial need - a long term need is best met by a policy that stays level and will always be there when that need arises
It depends on so much. The best way to find out the amount of life insurance a person should own is to ask one question.
Ask a client to get out a yellow legal pad and answer the question. If you do not make it home tonight, what would you have wanted to provide for your family. After he or she writes down everything they want to have provided, then you can help them fill in what they may have missed.
Business from Latham, NY
Answered on Apr 21st, 2018
The amount if insurance to purchase is based on need. Debt, income replacements, expenses, etc. Many families are under insured because the don't consider all factors. The best way to determine what amount you need is to start with a financial needs analysis. Our company offers this analysis on a complementary basis.
I have been in the life insurance business for 28 years and i have yet to met the person who has enough life insurance on themselves,,, this is especially true after delvering a few death claims to the beneficary of a policy and the person says "thank you" for the check that will help make the transition in my life much easier financilaly with out my spouses income....!!!!
The industry says 5 to 10 times the income of invidual should be sufficent for coverage, depends on the individual's debt's, future obligation's and budget as to how much a person can really afford to have in Life insurance benefit... and how much the iperson paying for the coveage wants to spend on a future benefit for thier benefiary...!!!!! interesting challenge to motivate an individual to purchase a policy...
I've seen lots of great answers on this thread and it really depends on your needs at that particular time of meeting with an agent. My line of business is primarily final expenses. You'll be far from well off with this type of whole life insurance but you'll be rest assured that you will be taken care of when that time comes without setting up a gofundme page!
Everyone's situation is different, however you should look at what your family will be missing out on in the event of an untimely death. Families still need the income a person was bringing into the household to maintain or improve their current standard of living. Maintaining the current standard of living could mean paying off a home so the mortgage is no longer a burden on the working surviving spouse, or it could be a specific amount of income for the spouse to receive on a monthly or yearly basis. These are all factors in the amount of life insurance someone should have, as well as leaving an inheritance to help create generational wealth. Since no one knows when they might pass away, the amount you need should pertain to your current situation and adjusted as your situation changes. Keep in mind that insurance is cheaper the younger you are, so getting a lot when your young and healthy is the best idea, seeing that you can't predict your what your health may be in the future.
Life insurance is about the future of your family. You can use it while you are still living also. Universal index life is the best eay to go. You have great ways to save for retirement, college education debt free and leave a legacy for your family. Start as early as you can be cause it is so much cheaper. With a $200 / mo in vestment for the family you guys can end up with a payout of $5-10million just get educated. I can show you how. The reason i say start out young is because you are im your best health and you are a less risk and you and your family benefit most.
The answer to that question wii vary based on each individual or business. The correct question is what do want to accomplish with the life insurance. Once that question is answered then the amount and type of insurance is selected. When our clients ask about life insurance we discuss what they are want to accomplish, then we go to work looking at types of insurance, companies and the options each plan offers to see which plan we will recommend. Then annually we review to see what changes have happened in life to make adjustments as needed. We work for our client not the insurance company.
Great question and it is different for everyone. On the low end, you should have enough to cover your debts. On the high end, it would cover the debts and provide income. However, sometimes you have to buy what is affordable. No matter the size of the benefit, they are never returned by the beneficiary.
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Answers (31-40)
Hi, I have been an agent for over 28 years and just giving someone an amount to buy is a huge disservice!! If someone isn't sitting down with their clients and working with what they need and where they want to go, anything will help in that horrible time of loss, but may not be what is needed. Term is great for short term needs, but things like actual burial need - a long term need is best met by a policy that stays level and will always be there when that need arises
It depends on so much. The best way to find out the amount of life insurance a person should own is to ask one question.
Ask a client to get out a yellow legal pad and answer the question. If you do not make it home tonight, what would you have wanted to provide for your family. After he or she writes down everything they want to have provided, then you can help them fill in what they may have missed.
The amount if insurance to purchase is based on need. Debt, income replacements, expenses, etc. Many families are under insured because the don't consider all factors. The best way to determine what amount you need is to start with a financial needs analysis. Our company offers this analysis on a complementary basis.
I have been in the life insurance business for 28 years and i have yet to met the person who has enough life insurance on themselves,,, this is especially true after delvering a few death claims to the beneficary of a policy and the person says "thank you" for the check that will help make the transition in my life much easier financilaly with out my spouses income....!!!!
The industry says 5 to 10 times the income of invidual should be sufficent for coverage, depends on the individual's debt's, future obligation's and budget as to how much a person can really afford to have in Life insurance benefit... and how much the iperson paying for the coveage wants to spend on a future benefit for thier benefiary...!!!!! interesting challenge to motivate an individual to purchase a policy...
After 40 years in the insurance business I have:
1) Never had anyone suggest I brought them to much money on a death claim. No one has asked if it was a term or whole life product at that time.
2)Had term policies end their guaranteed premium period and become unaffordable for most customers.
3)Paid death claims on children when parents don't need to worry about where money for expenses(medical or final) is coming from.
I've seen lots of great answers on this thread and it really depends on your needs at that particular time of meeting with an agent. My line of business is primarily final expenses. You'll be far from well off with this type of whole life insurance but you'll be rest assured that you will be taken care of when that time comes without setting up a gofundme page!
Everyone's situation is different, however you should look at what your family will be missing out on in the event of an untimely death. Families still need the income a person was bringing into the household to maintain or improve their current standard of living. Maintaining the current standard of living could mean paying off a home so the mortgage is no longer a burden on the working surviving spouse, or it could be a specific amount of income for the spouse to receive on a monthly or yearly basis. These are all factors in the amount of life insurance someone should have, as well as leaving an inheritance to help create generational wealth. Since no one knows when they might pass away, the amount you need should pertain to your current situation and adjusted as your situation changes. Keep in mind that insurance is cheaper the younger you are, so getting a lot when your young and healthy is the best idea, seeing that you can't predict your what your health may be in the future.
Life insurance is about the future of your family. You can use it while you are still living also. Universal index life is the best eay to go. You have great ways to save for retirement, college education debt free and leave a legacy for your family. Start as early as you can be cause it is so much cheaper. With a $200 / mo in vestment for the family you guys can end up with a payout of $5-10million just get educated. I can show you how. The reason i say start out young is because you are im your best health and you are a less risk and you and your family benefit most.
The answer to that question wii vary based on each individual or business. The correct question is what do want to accomplish with the life insurance. Once that question is answered then the amount and type of insurance is selected. When our clients ask about life insurance we discuss what they are want to accomplish, then we go to work looking at types of insurance, companies and the options each plan offers to see which plan we will recommend. Then annually we review to see what changes have happened in life to make adjustments as needed. We work for our client not the insurance company.
Tom Shores
Great question and it is different for everyone. On the low end, you should have enough to cover your debts. On the high end, it would cover the debts and provide income. However, sometimes you have to buy what is affordable. No matter the size of the benefit, they are never returned by the beneficiary.