Insurance Planning Thoughts & Questions
I have been in the Insurance Industry for over 20 years. When I started in the insurance Industry I was taught about Life Insurance and Investments. I soon learned that Life Insurance and Investments are most profitable to insurance companies. Even the sales process that was taught to agents was aimed at selling Life Insurance and Investments. Was that the correct process? I believe the answer to be NO and I will tell you why.
Though Life Insurance and Investments are very important, there is a product that I believe is much more important. That is Disability Income Insurance. Think of this, can you survive without income? Most of us would say "NO" because without our income we couldn't pay for our homes, groceries, electricity, cars, insurance or even put away for our retirement. So why do most of us have Life Insurance and Investments but don't have income protection? Because your agent was never taught to talk to you about protecting your income.
In most cases Life Insurance is bought to protect income for family members in case you should die early and Investments are for your retirement. But statistics show us that the chances of you being disabled between the ages of 25 and 60 are greater than you dying. So why is the cart in front of the horse, because your agent or advisor was taught to sell Life Insurance and Investments.
Do you have group coverage? Don't assume that your group income protection coverage is adequate. Many times the group plans are limited and benefits are often taxable.
Everyone needs income protection between the ages of 25 and 60. The only reason you wouldn't need income protection is if you have enough money to live without hurting your retirement accounts or if you have a nice trust fund. If you need help and answers feel free to contact us, we can help...Chris