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February 22, 2010Â |
| If you have already made the important financial decision to purchase life insurance or feel that you are covered by a policy provided by your employer, you should still consider having a periodic review to assess the health of that policy in light of your current life stage.  Did you know that your life insurance premiums are based on your age?  You will never be younger than you are right now, so your rate may never be lower! If you have been thinking about buying life insurance, call me today. I can assess the health of your current policy and run some illustrations on any additional coverage needed to restore the purchasing power of your life insurance program as a result of inflation and or significant changes in your life since you made your initial investment to protect your family's financial future.  The Numbers Don't Lie  Even if you have $1 Million worth of Life Insurance -  if your plan is to simply have that replace a steady income stream for your surviving family and not satisfy any existing debt or final expenses, do you realize what that will provide if invested at a reasonable market interest rate of say 5%?  $50,000 per Year For 20 Years | |
Do You Still Think You Have Enough?   Failing to consider the impact of inflation could result in a gradual erosion of the purchasing power of your life insurance program.   Impact of Inflation in 2009 on $100,000 of Life Insurance  | Insurance Purchased | Annual Inflation Rate Since Year Purchased * | Needed in 2009 to Equal the Purchasing Power of $100,000 of Life Insurance | Additional Life Insurance Needed in 2009 to Maintain Purchasing Power of $100,000 of Life Insurance | | 1980 | 3.8% | $294,933 | $194,933 | | 1985 | 3.1% | $208,069 | $108,069 | | 1990 | 3.0% | $175,351 | $75,351 | | 1995 | 2.7% | $145,207 | $45,207 | | 2000 | 2.9% | $129,342 | $29,342 | | 2005 | 3.3% | $113,868 | $13,868 |  * Based on the Consume Price Index - All Urban Consumers (C-U) - December to December; Base Period: 1982-84 = 100  No adjustments have been made for changes in financial obligations, loans, income, standard of living, number of dependents, etc. The additional life insurance amounts illustrated above simply restore the original purchasing power of a $100,000 life insurance program. | |
| When you die or lose someone you love and don't have a proper life insurance plan in place - you lose the life that they or you built. Life Insurance is designed to help maintain that life you built, long after you're gone. At Farm Family, we take a personal interest in protecting what you value most.  Life Insurance Provides Peace Of Mind  Call me today and get yours! | |
