Life Insurance Consumer Tips

by Duaine Owings, President Plan To Win Agency

====================================

Peace of Mind

====================================

Life insurance is purchased for many reasons, including tax-advantaged wealth accumulation; indemnifying mortgages and other debts; securing retirement; and guaranteeing your investments against market downturns.

In this issue, we focus on the “Number One” reason for buying life insurance. Namely, people want to provide for their loved ones. Life insurance brings peace of mind.

====================================

An illustration

====================================
The following poignantly illustrates the need to provide for one’s family.

Actress Molly Shannon, this year’s national spokesperson for Life Insurance Awareness Month, was four years old when her 33-year-
old mother and younger sister were killed in a car accident.

While her father survived the crash he was unable to work for several years because of the serious injuries he sustained.

Because her mother did not own any life insurance coverage, Shannon said the resulting financial strain on their family changed their lives dramatically.

“In an instant, my dad became a single parent and the onl breadwinner for our family. Even at a young age, I was well aware of the financial and emotional stress he was under,” she said
during her public appearances for the campaign conducted annually by the Life and Health Insurance Foundation for Education

(LIFE Foundation).

~ Life and Health Insurance Foundation for Education

Everyone knows a family that has suffered such a catastrophe. We all have seen the great difficulties facing the survivors, especially when money is lacking. We all know that advance planning is critical.

====================================

Why don’t people plan?

====================================

As simple as it sounds, one common reason is an aversion to math. If your eyes roll at the thought of calculating your insurance needs, then do yourself a favor and ask a financial advisor for help. This obstacle is easily overcome.

On the other hand, basic human psychology is a more difficult issue.

The key reason why people don’t plan is fear and discomfort with facing the prospect of family tragedy. Who wants to discuss their own demise and the potentially tragic consequences for their family? Yet, once this emotional hurdle is crossed, the life insurance purchase gets much easier.

====================================

Dealing with your emotions

====================================

Please understand that emotions are – by their very nature – not rational. Feel them, and deal with them, instead of suppressing them and procrastinating on your life insurance purchase.

Here are some tips that may help you.

(1) Watch the movie, “It’s a Wonderful Life,” starring Jimmy Stewart and Donna Reed. It very effectively portrays a man who had to envision his family’s life without him, and it served as a true wake-up call.

(2) Think about the important of your own peace of mind. Take a private moment (I call it “The Midnight Hour”) when you have your head on the pillow and are alone with your thoughts. And let yourself appreciate how much better you would feel if you did not have to worry about your family. Let yourself face the fact that your own fate is ultimately out of your control, but that you can control the impact of your demise on others.

(3) Get prequalified, to ease your mind regarding the cost. Prequalification is free, and it lets you know how much a policy would cost, without having to commit to the purchase. You may be pleasantly surprised at how affordable life insurance can be!

====================================

Have a question?

====================================

As always, our toll-free line, (800) 559–8777, is open at your convenience. Please do not hesitate to call me with any questions or concerns.

With best wishes for health and success,

Duaine Owings

====================================

About Duaine

====================================

Duaine Owings, is an independent life insurance broker and a recognized expert in field underwriting for people considered high risk.

Consumers and consumer advocates are warmly invited to email or call Duaine for experienced and patient guidance. Duaine currently serves as a preferred life insurance provider for many professional advisors and their clients, including attorneys, accountants, financial planners, and business loan officers.

Duaine Owings

905 NW Heatherwood Dr

Blue Springs, Mo 64015-7260

1 (800) 559-8777 Phone (Toll-Free)

1 (816) 224-9466 Phone (Local Mo)

1 (816) 224-9435 Fax

duaine@bigplanet.com

Licensed in: California, Florida, Iowa, Kansas, Missouri, North and South Carolina, Ohio, Pennsylvania, Tennesse and Texas.

====================================

Legal Notices

====================================

This newsletter is presented for educational purposes only. It is not to be considered professional financial, legal, or medical advice. Be sure to consult with your professional advisor when purchasing life

Critical illness insurance helps you to survive financially while physically recovering from a serious illness!

While health care insurance will cover a portion of the direct costsassociated with a critical illness, these plans typically require payment of deductibles, coinsurance and/or co-pays, which can range from $2,000 to $10,000 or more in out-of-pocket costs to you before the plan provides 100% coverage.

If you elect out-of-network care from a specialist or nationally-recognized hospital, you may face significant additional expense, plus the cost of travel and lodging.

In addition, indirect expenses associated with recuperating from a critical illness, such as modifications to a home or vehicle, child care expenses and convalescent care, may not be covered.

It is important for you to know what your health care plan will and will not cover before a critical illness strikes.

A single critical illness could consume the assets you’ve worked a lifetime to accumulate.

Ask yourself…if you suffered a critical illness and were out of commission for three to six months, would you be able to survive financially? If the answer is no, there is a potential remedy,

A Potential Solution Using Critical Illness Insurance:

Critical illness insurance is a source of funds you can use to help cover the indirect costs that arise when a serious illness strikes. By providing money when you need it most, upon diagnosis of a serious illness (as defined in the policy), critical illness insurance can help.

Critical illness insurance pays you a lump sum of money upon diagnosis of a covered condition. This money is yours to use for any purpose, with no restrictions. For example, critical illness insurance proceeds can be used to pay:

Mortgage or rent payments, as well as any other bills you may have; Health insurance deductibles, coinsurance and/or co-payments;

The costs of receiving out-of-network medical treatment, including possible travel and lodging expenses;  Treatments not covered by traditional health insurance;  Child care expenses during treatment or hospitalization;  Modifications to your home or vehicle;  and/or Shorter-term home health care.

Since the premiums paid for critical illness insurance are not tax deductible, the benefits are considered as income and are received 100% free of income tax.

How Critical Illness Insurance Works:

In evaluating a critical illness insurance policy, you need answers to these questions:

What Is Covered?

Critical illness insurance pays benefits upon the diagnosis of specified illnesses. A basic policy should cover at least heart attack, stroke and life-threatening cancer.

 A more comprehensive policy should also include other serious conditions, such as renal failure, multiple sclerosis, coronary artery disease, advanced Alzheimer’s Disease and major organ transplant.

What Is the Benefit Amount?

The benefit amount is selected at the time the policy is purchased and, generally speaking, can range from $10,000 to $100,000 or more.

 The benefit amount is paid in a lump sum upon diagnosis of a critical illness covered by the policy. Since the premium paid increases as the benefit amount increases, it is important to evaluate your other sources of funds available in the event of a serious illness in order to more accurately determine the critical illness insurance benefit amount that is right for you.

When Is the Benefit Paid?

The critical illness insurance benefit is paid to you in a lump sum upon diagnosis of a critical illness covered by the policy. Some critical illness insurance policies pay a partial benefit, such as 25% of the maximum benefit, on the occurrence of certain specified treatments, such as coronary angioplasty or coronary artery bypass surgery.

The policy usually terminates upon payment of 100% of the benefit.

Does the Policy Have an Elimination or Qualification Period?

Some policies require that for benefits to be payable, the policy must be in effect for a stated period of time, such as 90 days, before diagnosis of a covered critical illness is made.

Critical Illness Insurance Checklist:

In purchasing critical illness insurance, it is important to select coverage that matches your needs and preferences. As you evaluate various policy features and benefits, however, keep in mind that the choices you make can affect the premiums you pay and the benefits you are entitled to receive.

Covered Illnesses

What serious illnesses are covered by the policy?

Benefit Amount

 What is the lump sum amount payable upon diagnosis of a covered critical illness? Is the benefit amount payable in a single lump sum, or in specified percentages or amounts? If the benefit is payable in specified percentages or amounts, does the premium decrease accordingly?

 Elimination Period

 Is the benefit payable immediately after diagnosis of a covered critical illness? If not, how long must the policy be in effect before benefits become available?

 Guaranteed Renewable

 Can you renew the coverage for life, so long as you pay the premiums when due?

 Premium Increases

 Under what circumstances can the insurance company increase the premiums?

 Death Benefit

Does the policy provide any kind of death benefit if you die without receiving any benefits?

Optional Coverages

Are there any optional coverages available, such as inflation protection or an accidental death benefit? Since optional coverages generally require payment of an additional premium, carefully evaluate the value of any optional coverages to you and your personal situation.

For more information call out office at: 800-559-8777 or email us at: mailto:uslifeplans.com

Duaine Owings-Health-Life-Disabilty Expert

Life Insurance Consumer Tips
by Duaine Owings

====================================
The underwriting marathon
====================================
Does it seem like your life insurance application is taking forever to underwrite? Have weeks gone by? Have months gone by? Is this normal? What’s going on?!

The fact of the matter is that life insurance applications can take a long time to underwrite. This is especially true for people with a history of serious illness.

But you can take a number of proactive measures to expedite your application. Indeed, critical aspects of the approval process are in your own hands.

====================================
How to go the distance
====================================
First of all, right at the outset, choose a broker who is known for providing his clients with regular progress updates. You will feel more involved in the process and time will seem to move more quickly, if you are kept in the loop.

Second, make the time to disclose all information requested. Make the effort to complete this task, thoroughly and accurately. And you will be rewarded with a smoother experience during underwriting, where even a small inconsistency between your application, phone interview, and medical exam, could create a delay.

Third, provide your personal assistance in the retrieval of medical records as needed. While physician offices are paid substantial sums for copies of their patients’ records, they sometimes tarry in fulfilling these requests.  A phone call from you, as the patient, can result in prompt service.

Consumers have much more power than they sometimes realize. An “educated consumer” is not a trite slogan. Your smart choices can make all the difference.

====================================
Have a question?
====================================
As always, our toll-free line, (866) 559-8777, is open at your convenience. Please do not hesitate to call me with any questions or concerns.

With best wishes for health and success,

Duaine Owings