All About Life Insurance and Financial Planning

Update August 25 - 2010 All About "Life Insurance and Financial Planning" By Insurance Experts

2010-08-23T09:45:00.000-07:00

Financial planning is the long-term process of wisely managing your finances so you can achieve your goals and dreams, while at the same time negotiating the financial barriers that inevitably arise in every stage of life by Creating a Sound Financial Plan
Step 1 Establish Goals
Step 2 Gather Data
Step 3 Analyze & Evaluate Your Financial Status
Step 4 Develop a Plan
Step 5 Implement the Plan
Step 6 Monitor the Plan & Make Necessary Adjustments

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Financial Planning - Get the Big View of Your Finances
By Robin Applegarth

Many people are adept at handling their daily finances. Paid the bills? Check. Shopped for the best deal on that new TV? Check.
But what happens with the bigger picture? If you've ever had a nagging feeling your money could be working harder and smarter, consider doing some financial planning.
The process is like taking a hike up a nearby mountain to get the big view. It will take some time and a little effort. But, with the landscape laid out in front of you, it can be easier to find the best road to any destination. Plus, you may see intriguing new areas to explore.
How does it work? Financial planning starts with taking a holistic look at short and longer-term goals. Next, it's followed by making a financial plan to reach those goals. Make your dollars match your values, and meet your overall needs. You may be surprised to find larger strategies you've overlooked.
There are times when it's best to seek professional advice, but there is much you can do yourself. First, we'll explore steps you can take. Then we'll find out when it's smart to hire a pro.
"Do-it-yourself" financial planning
Here are some planning actions you can take.
Think about short and long-term goals. What are your dreams? Do you want to buy a home, get a college degree, or travel the world? Maybe you long to retire early. Start a notebook or online diary to record your goals.
Take inventory of where you are now. How much savings do you have? How much are you earning and spending? What are your personal assets and debts? Record your expenses for at least 3 months to really get an idea of where your money is going. You can use resources like Mint.com, Kiplinger's budget form, or programs like Quicken.
Go over your basic needs, including risk management. Make sure you have the right kinds of insurance for health, home and possessions. If you have dependents, or own things, make sure you have a will or trust so you get to say what happens after you're gone.
Pick a goal and create an action plan. Let's say you want to buy a home, but don't have the savings. It's suggested that monthly payments and other housing expenses don't exceed 30% of your average income. Work with this figure to see what you can afford, and what you'll need to save for a down payment. Go to Bankrate.com for calculators that will tell you how long it'll take.
Review and revisit your goals and progress every month.
When to hire a professional planner--If you were organizing a large wedding or event, hiring a caterer would be smart. And most of us would head to a medical professional for health problems we did not understand. Likewise, consider hiring a competent financial planner if you find yourself in any of the following situations.
If the sums are large, consider additional help. Did you get a life insurance payment, or inherit Aunt Susan's estate? If you're fortunate enough to have received a windfall or inheritance, you're a good candidate for help.
If your finances are complex or disturbing you, get assistance. Are you headed for bankruptcy or juggling too much debt? Not sure whether you'll meet retirement goals?
If you've had a recent divorce or loss of spouse,consider help. This is a time when people feel fragile, and may not be at their best to make informed decisions. Ask a trusted professional what your options are, and then take some time to reflect before acting.
If you're unable to move forward or make decisions about your money,seek help. This might be just the step you need to get your finances in order.
So, how does one find a trusted professional? It's best to choose someone who bases their advice on a per-hour or per-job fee, rather than commissions alone. This will help insure there's no conflict of interest. A top-trained planner often has earned the CERTIFIED FINANCIAL PLANNER™ designation. You can search for these and other fee-based professionals at the National Association of Personal Financial Advisors http://www.napfa.org/
Financial planning-by you or someone else--can lead to added awareness about how your money serves your life.
Robin Applegarth holds a certificate in Personal Financial Planning from the University of California, Riverside. She is the founder of a website, http://TheSilverPurse.com/ to help women build financial security. Read more about finding your unique goals http://TheSilverPurse.com/Set-Goals

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Article Source: http://EzineArticles.com/?expert=Robin_Applegarth

Update August 09 - 2010 All About "Life Insurance and Financial Planning" By Insurance Experts

2010-08-08T07:45:00.000-07:00

How should I select a "true professional financial planner" who will help me get my financial plan, and provide me unbiased advice?

The answer to this question is simple.

Check the capability of the individual or the organization that you wish to hire as your financial planner. Ask some few simple questions such as:

A) What is the business model of the company? How does it earn its revenues?
B) What is the process that they would follow in building the financial plan? Have a look at a sample plan.
C) What is the team size? Their experience and qualifications?
D) Are their recommendations based on solid research or driven by commissions?
E) How long has the individual or the organization been in business? How many clients have they made financial plans for?
F) Can they give references of existing clients with whom you can speak?

Do a detailed discussion with your prospective financial planner. Once you are satisfied on all these parameters, then go ahead and sign him up as your financial planner.

What all should a financial plan do for you?
A comprehensive financial plan should help you set the following things right:
i) Protection requirements and how to meet them
ii) Emergency fund planning
iii) Your goals (Retirement, asset purchase, children's needs, etc) and the money that you would require to achieve them.
iv) Detailed cash flows to help you understand the movement in your plan
v) View on your current investments
vi) How should your investments be spread into various assets in line with your risk taking capacity
vii) Investment Recommendations

What should be the cost of your plan?
We saw in the previous article the various ways that you would have to pay for a financial plan (including in some cases where there is no charge). Investors often tend to associate the cost that they are willing to pay for a plan with the amount that they are going to invest. That is not correct. The price that you pay for getting your plan built is not just about the investment that you are going to make. You should look at the overall benefit that the exercise is going to bring to you in terms of how efficiently you would manage your personal finances with respect to all the points that have been mentioned above.

Word of caution:
Do not decide your financial planner purely on the basis of who is going to charge you the least fees. Please understand there are no free lunches. And to build a financial plan which is comprehensive and takes into account all your requirements, a premium charge will have to be paid.

Also, while a CFP is a desirable qualification, the absence of it may not be the most appropriate reason to not select your planner. The approach and the expertise matter a lot. Take into account the other questions as mentioned above.

Conclusion

It is important to do financial planning but it is equally important to hire the right financial planner. The value that the planner can add to managing your personal finances is going to far outpace the fee that you pay. So go ahead and create your financial plan today!

I am working with PersonalFN. PersonalFN provides Financial Planning, Investment Planning and Mutual Fund Research and Recommendation services to investors, who are looking to invest in India. PersonalFN also provides Financial Planning Calculators and Online Portfolio Tracker Software to track your investments.

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Article Source: http://EzineArticles.com/?expert=Sharma_Vishal

Update July 22 - 2010 All About "Life Insurance and Financial Planning" By Insurance Experts

2010-07-21T11:05:00.000-07:00

Update July 05 - 2010 All About "Life Insurance and Financial Planning" By Insurance Experts

2010-07-05T08:17:00.000-07:00

By Sarath P Jerome

Here are the steps that you will have to follow if you wish to be successful with your finance plans.

1. Get an idea about your financial situation. Understand where you are exactly in your finance. Find out if you are having more savings or debts. Get the accurate details regarding your finance
2. Make the list of all your steady incomes. Steady income means that you have to get the details of all the incomes that you will get every month. The steady income refers to the minimum possible income that you will surely get every month.
3. Make a note of all your monthly expenses. There are different kinds of expenses. You have to group them in groups of fixed expenses, unwanted expenses and other random expenses.
4. Get the list of all your debts. Include your credit card debts, loans payments and any other debt.
5. Now as you have got the perfect list of everything you do with your money every month. It is left for you to device a personal finance plan for yourself. You can take into account all our details that you have gathered.
6. Make a plan to spend each dollar of your income. You can cut down all the unwanted incomes, and reduce all the amounts that you are spending on entertainment unnecessarily.
7. Now when you have a plan and you know what to do, do it. I mean stick to your plan and make it a success. Make all your budgeting plans happen. If you are able to do this, slowly you will find your finance growing stronger and stronger.

For more information on personal budgeting software click on the link.

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Update June 14 - 2010 All About "Life Insurance and Financial Planning" By Insurance Experts

2010-06-14T06:19:00.000-07:00

By Thomas Corley

In my role in divorce planning I have heard more than once, clients articulate that they would prefer death over another divorce. The stress takes years off one's life. The scars take a lifetime to heal. Typically it takes the average divorced couple seven years to recover financially from a divorce. Divorce is never a good thing, no matter what the psychologists say. Everyone in the family unit suffers. The most distressing part of divorce planning from an advisor point of view is the inability of the client to think clearly. Their brains do not function at an optimal level. The stress clouds their thinking. They just want the divorce process to end so they can get on with their lives. Oftentimes this means settling for less in order to expedite the process. For those seriously considering divorce or in the very beginning phases of a divorce the time to lay out the financial planning strategies is now, not later. You need to determine your course of action at the very beginning, because during the divorce process you will be unable to think as clearly as you do at the beginning.

Financial Planning Strategies:

1. Start a bank account, brokerage account and open a credit card account in your own name. This should be done while still married. The fact is, while you are married, your joint assets offer greater leverage than those assets remaining after the divorce. Your credit score will be higher, your financial balance sheet more robust and your shared liabilities watered down when there are two individuals rather than just one. This is particularly true for spouses who never established such accounts in their own name during the marriage. Don't wait until the divorce process begins to get these accounts opened.

2. Change beneficiaries on life insurance, retirement plans, in your IRAs and trusts.

3. Draft a new will changing beneficiaries.

4. Change title to assets that are owned jointly. This may include your car, an existing joint bank account or a jointly owned brokerage account.

5. Close joint bank and credit card accounts. An angry spouse can cause havoc by withdrawing money or running up the balance on a jointly owned credit card.

6. Sell your home. The clock starts ticking on the residential gain exclusion once the divorce is finalized. Better to sell the home right away and maximize the gain exclusion, which is $500,000 for married individuals.

Tom is a Certified Public Accountant, a Certified Financial Planner, CLTC (Certified Long-Term Care) and President of Cerefice & Company, the largest CPA firm in Rahway, New Jersey. Tom works with clients helping them manage their money, retirement planning, college savings, life insurance needs, IRAs and qualified plan rollovers with an eye towards maximizing tax benefits and minimizing taxes. Tom is founder of the Rich Habits Institute and author of "Rich Habits".

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Update May 25 - 2010 All About "Life Insurance and Financial Planning" By Insurance Experts

2010-05-25T06:57:00.000-07:00

By Steve Mackey

A relatively new type of life insurance policy is offering a new option for people to gain from the rising value of the stock market. Called equity indexed universal life insurance, it meets many people's financial needs by proving protection against the uncertain future as well as growing in value, thus letting the holder experience the benefits of a growing economy. Whether this is a good idea for you and your family will take some research, but you should at least learn the facts about this new type of insurance plan.

Purpose
Life insurance is really two different types of protection against uncertainties in the future: its main purpose is to replace lost income from a wage earner. By giving the beneficiaries money when the policy holder dies, the policy protects them against the financial burden caused by bills, mortgage payments, or other debt payment. But another purpose of life coverage can be to provide protection of estate assets from inheritance taxes. This is a major consideration for families that are well off.

The cash value of an equity index life insurance policy is based on an index such as a stock market index. This is built into the policy so be sure to read it carefully. The policy allows the holder to benefit from an increase in this index over time. Since stock markets tend to rise in the long run, this can provide powerful appreciation for policy holders.

Appreciation vs. Depreciation
To cover the risks that the stock market might go down, most policies have clauses that say the value of the policy cannot decrease. This cost is offset because the policy doesn't share all the appreciation of the stock market; you will only get a percent of the rise. This can still be a good deal for people with equity indexed universal life insurance policies.

Since there are many extra expenses not found in traditional life insurance policies, premiums may be a bit higher. Things like management fees for funds, stockbroker fees, and other professional fees are needed to manage the policy. Equity indexed policies are riskier than a traditional policy and might offer less profit potential than other types of investments. On the other hand, they can be good choices for those who expect the stock market to rise in value over the long term.

Equity indexed life insurance and equity indexed annuities are another option for long term financial planning and insurance protection for those looking to protect their loved ones in the years ahead. Find out if these plans are right for you, do some research and get a great policy.

Get A Quote Now

If you're looking for life insurance, click here to get quotes online right now. Just enter your zip code and press enter. You can compare quotes from different companies in your area to find the cheapest, best coverage to protect your family and loved ones. Don't wait - visit http://getlifeinsurancequotes.info today!

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Update May 04 - 2010 All About "Life Insurance and Financial Planning" By Insurance Experts

2010-05-04T05:31:00.000-07:00

By Glenn Ferguson

In today's uncertain financial markets the one thing that is certain is - if you are going to survive you must take control of your money, no matter your age or income level. And the message is also clear that you are going to have to take full responsibility for your financial well being.

So here are the two critical keys that you can count on to ensure your financial survival.

You got to know where you are going!

I am sure you have heard it over and repeatedly- "he who fails to plan, plans to fail" and believe those words are as true today as they were on the day they were first spoken and yet persons are failing everyday financially because they do not have a plan.

If you are going to survive you have to start with a thoughtful, well-designed financial plan. And you may need professional help in getting it done.

Remember that your financial well being is no different from your medical well being and just as you use a professional to help with your medical need you will need financial help!

Your plan should include the following:

Specific Financial Goals with appropriate time lines
Your Monthly Spending Plan. This will help you to control your spending and ensure that you are spending your money appropriately.
Savings. Never forget that a part of every dollar you earn is yours to keep so start keeping it.
Investments Goals & Strategy. You must grow your money and this will only happen if you have well a thought out investment strategy with the appropriate portfolio design.
Home ownership. You really ca not enjoy life without your own home
Retirement planning. You have got to provide now for when you are older and can not work.
Personal Development. You need to constantly increase your ability to earn more money.
Protection. You and your family will need adequate and appropriate insurance protection.
Estate Planning. Get yourself a Will, its the only way you will be able to make your wishes known.

Get yourself some breathing space!

You want to eliminate any consumer and credit debts as quickly as possible. And once you have done so build up your savings to at least six to eight months of living expenses.

Believe me, you will be happy you did because of the peace of mind it provides in a financial emergency or job loss.

You should keep this money in an easily accessible account preferable attached to an automatic teller card (ATM).

No matter what your current economy may seem like now or the noise in the market place do not become overwhelmed just start using these two critical financial keys and you will survive!

I invite you to take your first step to improving your financial survival by getting FREE " Your Financial Secrets for Everyday Living! "

Glenn Ferguson is a Speaker, Coach and Syndicated Writer, helping you to painlessly take control of your money to create wealth for you and your family. Email to: glenn@financialcoachingwithglenn.com. Web site: http://www.financialcoachingwithglenn.com.

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Update Mar 05 - 2010 All About "Life Insurance and Financial Planning" By Insurance Experts

2010-04-05T07:03:00.000-07:00

By Mark Stjean

Many people, when thinking of life insurance, imagine that it is something for the young only. They believe that insurance is a tool best used by newlyweds with mortgages, parents of young children, and spouses who are both employed. What does that mean for seniors? Does that mean there is no need for life insurance in those who are retired? The answer to that question depends on your family's needs as well as your financial picture upon retirement.

Your Family's Needs

One of the biggest concerns among retired individuals is whether or not they have enough money set aside to last their entire lives. Since life expectancies are predictable, but an actual lifespan is not, retirees are left with an uncertain bet that the amount of money they saved for retirement is enough. Sometimes, this bet is funded with a straight life annuity or pension that pays out like a straight life annuity. Both of these instruments could impact the surviving spouse's income if the annuitant or pensioner dies and there is no death benefit. When a surviving spouse stands to lose a portion of his or her income after the death of their spouse, then a life insurance policy can provide a much needed source of continuing income to replace the lost amount.

Another consideration is whether or not you would like to use death benefit proceeds to create a trust for your grandchildren. Leaving a trust account for their college or adult years can help take some of the financial burden from your children and your grandchildren as it may allow them to avoid student loans and other debt. Funding the trust with life insurance proceeds takes the funding burden off of your spouse and creates a fixed amount for the trust.

Financial Planning

Life insurance policies are great tools for making charitable donations upon death. If your spouse is not in need of the death benefit proceeds you can set them up either in a charitable trust or by simply naming a charity as your beneficiary. This allows your surviving spouse to see all the good your donation will do, without it impacting his or her financial picture.

Depending on how well-planned your retirement has been you may accumulate some debt in your later years that can be paid off with your life insurance policy death benefit. Debt as simple as a car loan, small home equity loan or even a loan for new furniture can cause undue stress to your surviving spouse and a life insurance death benefit is an easy solution to get rid of it.

Another financial planning consideration is estate taxes. While life insurance death benefits are generally not taxable, the rest of your estate may be. Instead of forcing your surviving spouse to liquidate assets or take funds from a retirement account to pay estate taxes or income taxes for the year you pass away, why not buy a life insurance policy to fulfill that need?

Conclusion

There are so many different ways that a life insurance policy can improve your surviving spouse and family's lives, no matter what your age is, that it is an expense everyone should consider. Without knowing what needs the future will bring, and what health complications could impact your ability to get insurance, the time to buy is now.

Contact us for more additional information. We offer very competitive quotes on Senior Life Insurance We are a Bethel Park Insurance company and we specialize in all lines of insurance. Call us if you have any questions or would like us to help you in any way.

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Update Mar. 15 - 2010 All About "Life Insurance and Financial Planning" By Insurance Experts

2010-03-15T05:52:00.000-07:00

By Thomas Hermschulte

There are at least four very good reasons to include life insurance to your financial strategy:

Reason 1: Take today a group of 100 people at the age of 25. According to the Social Security Administration (SSA Publication No. 13-11871, April 2000) 16 of them already died when the group reaches the age of 65. The number of people who needs to be supported by family and charities at that age is 66. The remaining 18 are financial independent. Just 18% are independent! This is way too few, none of us wants that our kids have to take the burden of supporting us after we have retired.

Reason 2: The study shows that 18% are financial independent, but how does the Social Security Administration define financial independence? The definition is: The annual income of a household or person greater than $30,000. That is not much! To get a feeling how low that amount really is, lets take look at the annual median income of all 58 Californian Counties. Only four of them have currently a lower median annual income than $30,000. This means, if you retire in California at 65 and you are financial independent (according to the SSA standard) you will probably have less income in more than 93% of the Californian counties than the median household there. So there is a good chance that you will not be able to spend your retirement in the "Golden State", together with so many other people who lived and worked hard here their entire life, even if you "are" financial independent.

Reason 3: We have all heard and read the stories of 80 year old retirees who have to start working again because their 401(k) or 403(b) or any other IRA plan has gone down significantly in value. This did not just happen to retirees. No, unfortunately everybody experienced a loss in their retirement plans. Why? Because the Stock market, in which most of the retirement plans are invested in, is unpredictable. More than just one study has proved this fact. Even experts, like Jim Cramer from "Mad Money" on CNBC didn't see the recent collapse of the Stock market coming, and he makes his living from watching the stock market and referring stocks to his viewers. The question that rises is: if he can't see a crash of that magnitude coming, how can your stock broker or financial adviser? The answer is simply, they can't.

Reason 4: We all know that life insurance never performs as well as a fund, a CD, a single stock or any other stock traded paper can. But this is and can be a very good thing that works in your favor. Because it means that life insurance is a safe and steady financial investment. You can rely on your life insurance, it will hold its value and therefore protect your investment. It builds an immediate estate. Even if you just paid one premium! Can you say that from any other financial product?

In order to be financially wise, you should always build your financial independence on a solid life insurance basis.

Click here for a complete list of the annual median income of all 58 Californian counties.

Thomas R. Hermschulte is an Financial Advisor and Representative of Mutual of Omaha http://www.MutualofOmaha.com

We currently offer our clients a free consultation to overlook their financial situation and offer free advice in these economical stormy days.

If you want to learn more what we can offer for you, contact me:

thomas.hermschulte@yahoo.com
2601 Main Street, Suite 960
Irvine, CA 92614

Cell: 714.330.1899

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Update Feb. 22 - 2010 All About "Life Insurance and Financial Planning" By Insurance Experts

2010-02-22T05:02:00.000-08:00

By Belsheba Nyabwa

Every year in any given country there is a very important calendar occasion. This is the reading of the budget. This is basically the government financial plan based on revenues collected and makes a budget for the different ministries according to their needs. Many view this as boring and of no value to them. This is in fact the most sensitive matter as it touches on our personal finances.

On a more personal level, each one of us should have such a financial plan each and every month when we receive our pay checks. Instead, something contrary to that happens. We go on a spending spree totally disregarding the repercussions.

o Bad financial habits
When you get your pay check you immediately get your friends and go out partying, drinks on you so as to impress your friends.

o Buying things on impulse
However nice something may appear to be, be it a posh car, luxurious house, high end phone if you have not budgeted for it do not buy it on impulse.

o Living beyond your means
No matter what you do the golden rule in financial planning is never to live beyond your means. This is a sure way to attract never ending debts and getting trapped in the vicious
cycle of poverty.

FINANCIAL ADVICE:

o The way to get out of the financial quagmire is to start saving the soonest time possible. Financial planning experts advise that you should have the equivalent of six month salary in savings on an emergency account. That basically means that if your employer were to delay your salary by six months you would go on with life as if nothing was wrong. Even though accumulating this tidy sum is a bit tough, it is worthwhile at the end of the day.

o Income generating projects
It is advisable to start some income generating projects like farming, starting a business store or investing in real estate. This however should not interfere with your main source of livelihood

o Budget
Make a spending plan based on priority. For instance paying for the house, food and school fees should take first priority whereas entertainment should come last.

Belsheba shares her wealth of knowledge on Online Business Opportunities. She is an Online Business Expert and her webpage is Rich in Content on Money Making Ideas and Home Business Strategies. Visit her informative and insightful website at:- Money Making Secrets for Updated Internet Business Solutions.

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Update Feb. 03 - 2010 All About "Life Insurance and Financial Planning" By Insurance Experts

2010-02-03T05:23:00.000-08:00

By Jordan Kovats

Life Insurance as we know it has been around for hundreds of years. As society evolves, so do the many forms of Life Insurance. Today there are various kinds of Life Insurance, from simple Term Insurance, Whole Life, Universal Life, Joint First to Die, Joint Last to Die, Guaranteed to Issue (No Medical), Funeral plans, & the list goes on. People purchase life insurance for many reasons. It is the epitome of an unselfish purchase, because it is one of the few things in life which the purchaser, will never personally use. It is for the beneficiary. People have various types of challenges in their life. When it comes to financial problems, there are both short term and long term problems. This article will discuss the role of Life Insurance and how it can help alleviate both problems.

There are two monumental occurrences in everyone's life. The day they are born and the day they die. As we go through childhood and grow into adulthood, a person begins to take on various responsibilities in life. They buy their first home, get married, have children, raise a family, perhaps start their own business, whatever it may be, these things impose financial responsibilities. For most people, this is when their financial obligation is the greatest; the first mortgage is usually much greater than the down payment. From the responsibility to provide food and shelter for family to covering a line of credit to start a business, can represent an additional mortgage. Whatever the case may be, a person's debt is usually greatest when in early adulthood. As people get older, the family grows, and moves on. A mortgage gets paid down and eventually paid off. The business becomes profitable and hopefully pays off its obligations. Individuals make investments in planning for retirement, and ideally, the financial responsibility decreases over time. Retirement on the other hand is another issue.

So, when it comes to financial planning, one of the key components is the proper use of Life Insurance. Life insurance purchased at an early age is really inexpensive. Term Life Insurance, is insurance designed to give you the maximum amount of coverage for the least cost. For example, a 30 year old non smoking male, in average health will pay around $25 per month for $500,000 of coverage for a 10 year term. So, if this individual earning $40,000 per year, had a $200,000 mortgage, and $20,000 of consumer debt, upon his death, his beneficiary would have $280,000 in tax free money. When you break it down, that would buy his spouse, a 7 year readjustment fund of $40,000 per year to draw on. Fairly inexpensive in cost for what the end result could provide. At the end of the original 10 year term, age 40, the coverage would automatically renew for another 10 year period, at a pre-established rate. It could be reduced or discontinued if the person no longer required the coverage. It is used for the so called "short term" challenges.

So, why Universal Life Insurance also? The long term problem everyone faces is final expenses. Let's face it, we are all going to die one day. How much we have left, or how much we leave behind is unknown until that time comes. So, why place the burden on your family to take care of those obligations? A simple $50,000 Universal Life Insurance permanent plan, would cost approximately the same amount as the Term plan mentioned previously.

Why purchase both plans at a young age? Fairly simple; we tend to be more healthy when we are younger, thus the cost of the insurance is less. So, back to the example of the 30 year old male and the $500,000 of Term Insurance. We all know what will happen at death, but what if he lives longer than the Term Insurance is in force? Probably, over time, the mortgage gets paid off, lines of credit get eliminated, investments are made and the need for temporary or term insurance is no longer valid. The small Universal Life Insurance policy will always be there to take care of final expenses. If a person's health takes a turn for the worse, as they age, coverage may no longer be available for ongoing permanent needs. The Universal Life Insurance policy also has some provisions built into it, whereby money grows tax free in an investment account and increases the death benefit. Should a financial circumstance require the need for access to money, an individual could withdraw some money from the policy. The option of putting it back, or not, at a later date exists.

In summary, there are different types of Life Insurance. No one has a crystal ball to see into the future. Most people are able to visualize 10 year parts of their life. Hence the need for temporary, or Term Insurance to cover the greatest expenses for the least amount of money. However, we will all have a final expense. Nobody really knows when that will be. Whether you want to have just enough left over to take care of that final expense, or leave some behind for a loved one, or charity, Universal Life Insurance helps take care of that permanent problem.

Writer, Jordan Kovats, B.Sc.
Co-Founder
www.thebenefitguys.ca

Part B. It's Important to Compare Life Insurance Companies to Make Sure You're Not Getting a Raw Deal

By Ryan Richardson

A life insurance policy is a great way to secure the financial well being of your family in the event of your untimely passing. It can be a very valuable investment but it's also important to compare life insurance companies to make sure you're getting good coverage from a quality company and that you're getting it at an affordable price.

Insurance companies are in business to make money and you have to carefully select the company that you choose to do business with. You want to find a company that values their customers as much as they value their profits. The Internet makes it very easy to compare several companies side by side in a short period of time.

You can get a great deal of information about any insurance company doing business in your state by checking with your state's Department of Insurance. Most states will have a website set up that provides a wealth of information. You can check up on a company to make sure they are in compliance with local laws and to see if there are any formal complaints filed against a particular company.

There are a number of websites that rate the various insurance providers on a number of different factors including coverage options, pricing, the ease of the claims process, overall customer satisfaction rating, and more. It's always a good idea to talk to a financial planner or other knowledgeable professional when it comes to things like life insurance and estate planning but by doing a little research online you can gather a lot of information about a number of different companies very quickly. Life insurance can be a great way to protect your family but you want to make sure you're making the best move by finding the best company.

Find highly rated life insurance companies in your area. Get free quotes from multiple companies and start saving money in a matter of minutes Click Here!

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Update Jan. 14 - 2010 All About "Life Insurance and Financial Planning" By Insurance Experts

2010-01-14T03:25:00.000-08:00

By Rick Swanson

Many financial planners will recommend life insurance as part of your total package for security, safety and financial success. Since it protects you from a financial crisis and it has to be considered part of an overall plan to protect your loved ones. There are two insurance products that financial planners will typically suggest. One is a whole life policy and the other is a term insurance policy. Both are valid ways to guard and protect yourself, your estate and your loved ones.

A whole life insurance policy is often considered an investment because it builds cash value over time. It also protects your loved ones in the event of your death by providing them with a lump sum of money. This money is usually distributed tax free at the time of your death and your family may use it any way they wish. It is the more expensive of the two insurance products and increases in cost with your age. If you want to purchase a whole life policy you should do it early in life while premium rates are relatively inexpensive. If you live for a long time your whole life policy can be used as part of your retirement package.

The second type of life insurance is called term insurance. It does not build any cash value and is contracted for a set number of years. Generally, term insurance is used to cover a major expense, should you die early on in life. It is often associated with mortgages and auto loans because in the event of your death term insurance policies are used to pay off these larger debts.

Most insurance companies offer both of these insurance products and before deciding which one is right for you, you will want to compare rates, policy guidelines and contracts before you sign on the dotted line. Also, do not be afraid to deal with smaller insurance companies since many times you can find better rates. The insurance industry is regulated by state governments which also regulate smaller companies but be careful to investigate the company before you buy.

Rick enjoys writing articles on a wide variety of topics and interests. Come visit his latest website over at http://www.heartratemonitorwatchesonsale.com which helps people find the best heart rate monitor watches and information they need when searching for them.

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4 Financial Planning Tips to Help You Prevent Financial Meltdowns

By Wendy Moyer

No one can predict the future. But you can at least plan for it. Proper financial planning can protect you from the ravages that a financial crisis could bring to your doorstep at any time in your life. If you take the initiative to plan in advance you can save yourself from having to go through the traumatic events similar to those that people are going through all around us today. This article will cover four things to do that will help you to prevent major financial disturbances from negatively impacting your life.

Spend Less Money Than You Earn

On the top of this short list is spending less than you earn. If you have the self discipline to spend less money than you make and you can save the difference out of every paycheck you will be well on your way to financial well being.

Make a Budget

When you make a budget you force yourself to make financial planning a part of your life. After you make your budget it's important to keep notes on everything you spend money on. You will be surprised at how much money can leak out of your pockets for things you don't really need or want. When you plug those leaks you will have more to save and/or invest. And you will also probably realize that saving is not that so difficult.

Invest Part of Your Savings

Financial planning means putting your money to work for you. Although you may initially want to invest in things like stocks, bonds or mutual funds, one of the bedrocks of any good financial plan is a life insurance policy.

When you own a life insurance policy not only will you be investing for your future, you will also have the peace of mind of knowing that you are taking care of the ones you love in case something should happen to you.

Wouldn't it be wonderful knowing that you have taken care of your children's education, kept a roof over their heads, and provided some of the luxuries in life for them? That's what a life insurance policy can do for you. Speak to your financial advisor. Ask him or her to help you to formulate an investment plan that is right for you and your loved ones.

Stay Out of Debt

One of the biggest challenges to financial planning is running up debt. Credit card debt is a problem that many people face. If you are in debt it is imperative that you stop getting further into debt and that you start to aggressively pay off what you owe.

If you are not in debt don't even think about going there. Look around you. Many of the problems people are having now is because they ran up their debt in the boom times. If you follow these tips you will be able to save part of what you earn and invest it wisely.

And to find out more about financial planning and to get more free advice about life insurance, go to http://www.MikesLifeInsuranceAdvice.com.

Wendy Moyer is a professional writer.

Article Source: http://EzineArticles.com/?expert=Wendy_Moyer

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Update Dec. 27 - 2009 All About "Life Insurance and Financial Planning" By Insurance Experts

2009-12-27T06:41:00.000-08:00

By Stephen Kavita

A financial psychologist once said that to make smart decisions regarding your money, you need to let the logical side of your brain rather than the emotional one to dominate. Avoid being emotionally attached to your investments. There are people who would cling to certain stocks because they inherited from their parents and their parents used to love them or because they work for the company and selling would be disloyal.

Before purchasing something evaluate whether the product or service is worth that price in enjoyment considering how you will use it and if you can get the same quality for less. Beware of retaliatory spending; do not ever go on a shopping spree because you are stressed, or you have had a fight with your partner or an argument with your boss. No matter how better you think it will make you feel, it will damage your financial health.

It is wise not to cling on to debt. For instance, there are people with money in their savings account earning less than two percent, and have debt in their credit cards that are being charged more than fourteen percent. It is good to save for a rainy day, but if you have more than enough savings you can pay your debt and save on huge debt card interests. Then rebuild the savings, not the debt. For emergency purposes; you still have the credit cards (now with zero balances), and you can tap them in.

If you make a mistake in your investments, do not go the way you anticipated or stay in denial; losses do not go away just because you did not look at them. Asses where you are and figure out what to do instead of waiting for things to get worse.

Stephen shares his experience in Self Development Tips that will definitely Add Value to your Life. (Website:) Self Improvement Tips

Article Source: http://EzineArticles.com/?expert=Stephen_Kavita

10 Questions You Should Ask a Financial Advisor Or Financial Planner

By Dan Goldie

If you are considering hiring a professional to help you with your investments and personal financial planning, you should come to the first meeting prepared with questions that will help you to evaluate if the advisor is right for you.

The questions below are intended to give you a good sense of the background, business structure, advisory style, and qualifications of a prospective advisor or planner:

1. What are your professional qualifications and designations, including formal educational degrees?

An advisor who has earned one or more professional designations has demonstrated a commitment to education and professionalism, and at least a reasonable proficiency in his or her field. Some common professional financial designations include: Certified Financial Planner (CFP), Chartered Financial Analyst (CFA), Certified Public Accountant (CPA), and Chartered Financial Consultant (ChFC).

Just as you might inquire about a potential employee's formal education, knowing where an advisor went to school and what they studied can help indicate their level of general intelligence, knowledge, and ability to problem solve.

2. How long have you been an advisor, how many clients do you have, and how much money do you manage?

This information will help you evaluate an advisor's level of experience and relative success. You may want to avoid an advisor with too little experience, or one who has too few or too many clients. In general, successful advisors will have more clients in assets under management than less successful ones.

3. Who are your ideal clients?

It can be helpful to understand the types of clients an advisor feels are a good fit for their practice. You don't want to be an unusual client; it is better to fit well within an advisor's client base so that you benefit from the advisor's experience with others like you.

4. How are you compensated?

Financial advisors are compensated in a variety of ways. It is important that you understand exactly how and advisor benefits financially from the advice he or she will be giving you. You may decide that you prefer one method of compensation over another, due to personal preference, potential conflicts of interest, or other reasons.

5. Who will be handling my account?

Some advisory firms assign teams of professionals and backup staff to work with clients. Smaller firms usually have just one advisor working with each client. There can be benefits and drawbacks to both models, and it is important that you understand the potential relationship so you can make a decision that you feel will be best for you.

6. How will you communicate with me and my other advisors?

It is important that you receive frequent, clear, and accurate communications from your advisor, and that they will work well with your other advisors (such as your accountant and attorney). You should also feel confident that your advisor will be available for you promptly should you have a question, or want to meet to discuss something.

7. What services do you provide?

Some advisors only offer asset management services while others will offer a more complete set of services that may include personal financial planning. You want to be sure you know exactly what services you are going to get and how they will be delivered before you become a client.

8. What is your investment and financial planning philosophy?

There are a variety of different investment philosophies and approaches to financial planning. It is important that your advisor's way of managing money is consistent with your own. This is an essential area of said for a successful long-term relationship.

9. Do you take custody of client assets?

Safety of your assets is imperative, so most independent advisors use a third-party custodian firm, such as Charles Schwab, TD Waterhouse, Vanguard, or Fidelity. Advisors who are registered representatives will likely custody your assets at the brokerage firm with which they are affiliated. Beware of advisors who don't use an outside custodian.

10. What makes you different from others?

A good advisor should be able to clearly explain to you how working with them is uniquely different from working with someone else. This question gives your advisor a chance to identify their strengths, thus giving you the opportunity to make an assessment.

Dan Goldie is an independent financial advisor and financial planner working with high net worth individuals and families.

Investment advice provided through Dan Goldie Financial Services LLC, a Registered Investment Advisor.

Article Source: http://EzineArticles.com/?expert=Dan_Goldie

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Update Dec. 07 - 2009 All About "Life Insurance and Financial Planning" By Insurance Experts

2009-12-07T04:41:00.000-08:00

By Cornie Herring

Financial planning is important to ensure you stay in control of your money for current and future. It covers a wide range of money topics that you must learn up if you want to continue stay health financially. We will discuss some important topics about financial planning and how each of these topics works together and affecting your financial healthiness.

Among the important topics that you should know when trying to understand about financial planning are: budgeting, expenses, debts, savings, retirement and insurance. Let's discuss them one by one.

Budgeting

The most basic level of personal finance is how to allocate your money so that your money is always in positive flow, it's called budgeting. Budgeting is a process of allocating your money so that you know how much your spending and where the money has gone. Your budgeting plan should be based on your financial condition to allocate the money according to the priority of your primary needs.

Expenses

After you have created a budget plan, you will have better control on where your money goes and what are the optional expenses that you can trim off. For many people, cutting expenses on such little things that are optional to your needs can add up to significant savings which you can use toward investment to create your future estate.

Debts

You may not be able to avoid debt totally because you may get loans for buying home, car or business investment. But, your debt should always be at controllable level. When you do your financial planning, you should take into consideration about your debts so that you have plans to get rid of them.

Savings

Allocating money into saving accounts is an important step in financial planning process. You may need money for emergency needs, as your kid's educational funds, for planning for your retirement & etc. With fewer companies offering full pension plans and the uncertainty of Social Security, it has important to plan a fund that you can put aside to be used during the emergency situation.

Retirement Planning

The quality of life you want after the retirement will depend on your current contribution. You will probably want to retire happily with financially peaceful mind. Therefore, you have to include your retirement plan when you perform the financial planning.

Insurance

Major illnesses, disaster, accidents and many other incidents may happen without warning and they may cause a sudden need of big amount of money, which our emergency fund may not be sufficient to resolve them. Here, comes the important of insurance in our financial planning. It should be included into your financial plan to provide protection to your lovely family members against the unexpected such as illness or loss of income sources due to dead.

Summary

Financial planning is a process of estimating the current & future financial needs, and making plans to achieve them. The above elements are the key elements involved in financial planning, which you need to take into consideration when planning your financial needs.

Visit Cornie Herring's website at http://www.studykiosk.com/CreditBasics to find more debt relief resources on the option available for you to get rid of debt. Learn how debt consolidation, credit counseling and other debt solutions work in helping debtors to resolve their debt issues.

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Life Insurance Reality Check - Do You Have Enough?

By Denise M

Life insurance is an important component of your financial planning. If you have a young family, it could actually be the most important element of their security. A lot of people do not have affordable life insurance yet. Among those who already have life insurance, a vast majority does not have enough coverage. Could you be one of them?

What kind of insurance is best?

Life insurance policies come in two basic variants - whole life and term insurance. Whole life insurance offers death benefits plus cash value on account of which premiums are higher. On the other hand term insurance is affordable because it only concentrates on death benefits for which you pay cheaper premiums. When you are young with a lifetime of loans, expenses and mortgage payments to be paid, children's' education and upbringing to look after, you must consider the more affordable term life insurance. Since a term life policy can help you focus on just the death benefits, it makes sense to understand it better, and work out the best coverage amount possible.

What kind of expenses and financial needs should a term life policy cover?

On the event of your death, the death benefit of your term life insurance policy should be able to have your family pay off your funeral expenses and invest the rest so that they can lead a comfortable life much like the one you provide for them now.

Funeral expenses can work out to be as high as $5,000-$12,000 currently, so that's why you will need to factor that in to your life insurance planning.
Next, your death benefit should replace your current income, so that your family can carry on with life without having to make major lifestyle changes. Remember to take into account inflation and rising costs.
Thirdly, factor in your debts - unpaid mortgage, credit cards and loans could eat into the death benefit amount, leaving your family with very little to take care of other expenses.
If you were to die, your family would surely have additional expenses to replace the services you used to take care of yourself. If you handle the accounts on your own, or take care of the plumbing yourself, your family may need to hire the services of an accountant, or a plumber. If your spouse is currently a stay at home parent, your family may need the services of a nanny in case he or she decides to start working to supplement their income. It's the little details that will help you work out your family's expense requirements better.
If your kids are young, a part of the death benefit will have to be invested to pay for their college education.
Consider any hidden income that you may be currently earning, but which would be lost at death. Examples are your perks, your employer's contributions to your 401(k) plan, health insurance and your retirement fund contributions. Too many people overlook factoring this into their calculations while in actuality they could easily add up to $10,000-$12,000.

How to calculate the coverage amount

There are conflicting views on how to arrive at the perfect coverage amount for your life. Here's an alarming statistic. The average American has about $170,000 in life insurance coverage. That seems like a lot, but it is only about four times of the average annual income in the U.S. So it's going to tide your family over for four years, but remember that you're going to be dead a lot longer than four years. So how do you calculate the ideal coverage amount?

The rule of thumb in the insurance industry says that your coverage should be 10 to 20 times your annual income. However, like we discussed earlier, annual income is not the only factor that should be considered when determining your needs. How much term life insurance you need is a highly individual figure. But if you know exactly what your death benefits should help pay for, then you definitely won't make the mistake of under-insuring yourself. So the long and short of the 'how much is enough' dilemma is that the death benefit you provide your family should be more than your net worth. Use the help of online Life Insurance Tools such as a Life Insurance Needs Calculator to help you arrive at an accurate coverage for your personal situation. Then you can apply for term life insurance quotes.

How often should your policy be reviewed?

If you already own a term insurance policy, that's not enough reason to think that you have enough death benefit. If you have failed to consider the expenses and the loss of income sources that may follow your death, you will need to review your policy.

Even if you have taken everything into consideration, experts recommend that you review your policy whenever there is a life changing event such as the arrival of a baby, taking in an additional family member, changing jobs, looking after ailing parents, or the loss of a spouse. These events will increase your expenditure.

In times of recession the value your investments drastically dip, while your life insurance benefits remain the same. If you were to die in the next two years, your investments would have accrued a lower income than expected due to the present economic crunch. Have you factored this into your life insurance plan? You may need to review your term policy especially during economic downturns.

Conclusion

The best way to review your term insurance policy or work out the death benefits on a fresh term life policy is to consult with an unbiased insurance advisor, preferably one who represents a large number of life insurance companies. The advisor will ask you in-depth questions on your finances and help you arrive at term life quotes that are just right for your family's needs.

AccuQuote is a leader in providing term life insurance quotes to people across the United States. In 1986 it began operating with a single goal: to make the process of buying term life insurance as easy as possible for its customers. Their experienced professionals consistently deliver the most affordable term life insurance rates by comparing thousands of life insurance policies from dozens of top-rated carriers.

Article Source: http://EzineArticles.com/?expert=Denise_M

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Update Nov. 19, 2009 All About "Life Insurance and Financial Planning" By Insurance Experts

2009-11-19T02:21:00.000-08:00

By Troy Pryczek

The Wall Street Journal, several months ago, printed an article reporting that retirees, some older than 70, were having to compete with young people for entry level jobs. Aged out of the career that they invested decades in, these people now have to hit the job market unprepared and in a deepening depression. How most of them could avoid their current troubles? Simply by augmenting some basic financial planning. Even though most of us forget Ben Franklin's old axiom, "money saved is money earned" the principle still applies. Here are a few easy steps and principles that will help you improve your financial position and keep you out of the job lines during your retirement.

• How is that pension holding up? How about the 401K you worked so hard to build. Honestly the only type of profit sharing that really works is when you own the business. Many seniors are looking into Internet marketing as an investment and one of their keys to financial planning. Marketing takes control of your income out of the hands of someone and puts it squarely into your hands. The success of your new business is entirely up to you. You work from home, set your own hours and structure your income goals according to your current and future needs.

• Spend less than you earn. As silly as it may sound most people have great difficulty in grasping this simple rule. If your income is $5000 a month and you spend $6000 a month you're going in the wrong direction. Instead of retiring early you will be in those lines, working for someone else, just to get out of debt. Make a budget and stick to it and cut up those credit cards.

• Set aside a certain amount a month for emergencies. If now emergencies come up rotate that amount into savings. Put this amount into your budget every month.

• Pay off at least part of the principle each month, especially for those loans with high interest rates. Clear the debts, if possible, but always pay of the loans with high interest rates first.

• Invest in a good insurance policy. This will serve as a safety net for your family if you are injured or killed and also most life insurance policies build cash value.

The keys to financial planning are in your pocket. You simply have to take them out and use them. Try not to spend your time working for someone else, living on their expectations, when you can just as easily work for yourself.

To learn more about making more money Click Here. Or to see how Troy Pryczek can mentor you to make money online, and to claim your FREE! Internet marketing Boot Camp visit http://www.PassiveCashflowOnline.com/

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Final Expense Burial Insurance Policies For Senior Financial Planning

By Marilyn Katz

If you watch TV, surf the net, or open your mail, and it you are a senior citizen or a caregiver, you have certainly seen ads for a product called final expense or burial insurance. The ads usually point out that funerals average $8,000 in the US, and in some areas, can cost much more. They also point out that senior citizens may leave other expenses behind. Debts need to be settled, a funeral will probably cause many people to make unexpected travel plans in a hurry, and sometimes, a body will need to be transported.

Now nobody likes to think about a loved one passing away. And yet, it is much better to give it some thought in advance, rather than waiting until arrangements need to be made in a hurry. Even if some planning were not needed, you will still have the matter of coming up with the cash to pay for everything. Now some funerals do sell something they call pre-need funeral plans. These have a place, but are not the perfect solution for everything. For one thing, they will probably not cover all expenses associated with the funeral itself, much less debt settlement, travel, or transporting a body.

So the alternative solution, called a final expense or burial policy, is actually a smaller face value whole life insurance company. These are designed for seniors, and some can be issued up to age 85. They usually do not ask many health questions, and some do not ask any health questions at all. The face value of these plans range from $2,500 to $25,000, and the smaller amounts make them easier to obtain for an older applicant. The smaller value also makes them more affordable. However, a few thousands dollars may be just the right amount of life insurance to make sure that final expenses are covered. In the world of life insurance, a few thousand dollars is considered a small amount, but for the children or grand-children, that can be quite a bit of cash to come up with in a hurry.

With a senior life insurance policy, the beneficiary is also not tied to one particular funeral home and location. I know of many cases where elderly people moved from their homes to spend their final years closer to children who had moved away for jobs. Also, many funeral homes will accept the policy as proof of ability to pay for the funeral, and so, they will not require a large check to be written the day of the funeral. I have also heard of cases where funerals had to be delayed because the children needed time to come up with the money!

A senior citizen can purchase a policy like this for themselves. They may name their children, or whoever will make final arrangements, as the beneficiary. It would be best to select a person who lives close and will be responsible for making sure that plans are carried out. Sometimes the children of an older person will purchase a plan like this for an older person, and they will pay the premiums and name themselves as the beneficiary. In most cases, this is perfectly legitimate.

So, do you need a final expense or burial life insurance policy? Well, if there is plenty of liquid cash on hand so that all funeral arrangements can be made with no problem, then you may not need it. If the insured person already has sufficient life insurance or other assets to cover everything then, again, it may be one offer to pass up on. But for many people, even some with life insurance that is intended to provide an estate for family members, a final expense policy can be an affordable way to plan for the inevitable and give everybody peace of mind.

You can save money on life insurance by comparing rates! Use our handy online form to Compare Burial Insurance Policies from your home PC and internet connection. It is fast, safe, and without obligation.

Find No Medical Exam Life Insurance for Senior Citizens at http://www.nomedicalexam.net/seniorlifeinsurance.html

Article Source: http://EzineArticles.com/?expert=Marilyn_Katz

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Update Oct. 31, 2009 All About Life Insurance and Financial Planning By Insurance Experts

2009-10-31T06:29:00.000-07:00

By Cornie Herring

Among the important topics that you should know when trying to understand about financial planning are: budgeting, expenses, debts, savings, retirement and insurance. Let's discuss them one by one.

Budgeting

Expenses

Debts

Savings

Retirement Planning

Insurance

Summary

Article Source: http://EzineArticles.com/?expert=Cornie_Herring

How to Begin Planning Your Financial Future

By Richard Gorham

Financial planning today provides major benefits tomorrow, and for the remainder of your life.

Regardless of your current income level or personal situation, learn why you must be committed to the following personal finance strategies in order to secure your financial success.

Planning now for your financial future is, quite simply, a smart thing to do. The tools and process detailed here will pave the way for anyone who is serious about conquering their debt and taking control over their financial existence.

Financial planning is how you get from point A to point B, as well as points C, D and E. Depending on where you are financially today, you no doubt have multiple goals that you wish to accomplish. "Hoping" for your luck to finally change, or "waiting" for your ship to come in, is NOT a financial plan - it's simply a dream.

Most people get into a set routine with their finances. The longer you allow yourself to continue down the same financial road without a clear map in hand, the more you lessen your chances of realizing your financial goals.

Let's face it, most people are not known for their patience or their planning skills, and even less people are admired for their ability to save money. No one should be surprised to learn this given how the mass media is constantly teaching people in our society to "buy it now- pay later!"

To ensure financial success, people must break away from this destructive, and weak, mind-set.

Do not make the common mistake that financial planning is only for the wealthy, or that you must already have a good sized nest egg before meeting with a financial advisor. Nothing could be farther from the truth.

However, you don't need to pay out your hard earned money for a professional. The most effective financial planning occurs in the home at the dining room table or home office.

Common tools include the household checkbook, a pen, calculator and a piece of paper with a line down the middle. One column is titled, "Cash Coming In", and the other column reads "Cash Going Out".

The main goal to keep in mind is that you want to spend every dollar of your monthly income ON PAPER, before you actually spend it. This way you will plan your expenditures for the month, knowing you have set aside adequate money to cover all the fixed expenses. In addition, you will have thoughtfully allocated the remaining funds to the areas of your life that are most important to you.

Examples of important financial goals might include:

Buying a new car
Saving for a down payment on a house
Future college saving
Dream family vacation
Purchase of investment property
Planning for retirement years

Regardless of what your financial goals are, your chances of realizing those goals are highly dependant upon your decision to plan ahead and your willingness to take action - right here and right now.

There is a great tool available to anyone who is not comfortable with sitting down and creating a household budget on their own. This important tool is called a Personal Financial Statement.

If you've ever applied for a loan or credit card, you have filled out the majority of what is found on a personal financial statement. Starting immediately, you can begin using the same process that a lender uses to account for all monies coming in and going out.

Once you have completed filling out a personal financial statement, you will have all the information you need to take the financial planning process to the level - that is, creating a budget that works!

"Budgeting" gets a bum wrap. No one likes to hear the word "budget"; however, it is the process of budgeting (aka. financial planning) that will ultimately set you free and secure your financial future. Too often, people make the mistake of assuming "only broke people have to budget". The reality is that most rich folks are rich because they budget.

The decisions you've made up until now are the reason you are where you are today. The decisions you make today going forward will shape your destiny. The only real question is, "Where are you going?". Decide well.

About The Author: Richard Gorham says, "Conquer debt and increase your income!" Access a wide variety of free tools and resource information to better manage your finances at http://www.debt-to-income.com/debt-free-living.html

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Update Oct. 12, 2009 All About Life Insurance and Financial Planning By Insurance Experts

2009-10-12T06:39:00.000-07:00

Are you one of the plain insurance agents? Agents often prefer to upgrade their title as an insurance specialist or financial advisor on their business card. Names like life advisor reflect positive experience and knowledge. Which of these different terms distinguishes you from being just one of the insurance agents? Here are 101 top choices to pick from.

There is a lot more to a name then may realize. Calling yourself an agent or sales agent makes you sound run of the mill. It also projects the sound of a salesman trying to sell you something. Few people enjoy feeling a person is selling them anything, it stinks of pressure. This is why in this list of different terms you will see how high words like specialist, expert, and professional rank. The prospect gets a completely new perspective, just by the title you give yourself! Prospects closely take notice when an agent jointly works with them in reaching a decision on what is the best plan of action. Prospective clients want to feel like they are part of the decision process.

Important internet search tip: to get an accurate count use quote marks around your term, "insurance specialist" will only give you that term in that exact order. Without the quotes you would also get all instances of people searching terms such as specialist insurance, specialist in writing insurance claims, specialist in automobile insurance sales, etc.

To give this article value, in front of each of the insurance agents distinctions is the number of current Google listings. This way you can easily see how often internet views "insurance agent " look-up terms like specialist, planner, representative, and. advisor. Please remember the Google count figures often change daily.

1. 10,600,000 = financial advisor

2. 6,690,000 = insurance agent

3. 4,280,000 = financial planner

4. 2,120,000 = investment advisor

5. 1,780,000 = insurance agents brokers

6. 1,600,000 = investment adviser

7. 999,000 = insurance guide

8. 735,000 = insurance specialist

9. 638,000 = financial expert

10. 604,000 = financial professional

11. 590,000 = financial specialist

12. 513,000 = life pro

13. 433,000 = insurance professional

14. 431,000 = health insurance agent

15. 322,000 = insurance expert

16. 271,500 = insurance salesman

17. 269,000 = life professional

18. 268,000 = life insurance agent

19. 253,000 = insurance consultant

20. 252,000 = insurance advisor

21. 244,000 = insurance sales representative

22. 219,000 = insurance manager

23. 218,000 = estate advisor

24. 217,000 = insurance executive

25. 189,000 = estate planner

26. 186,000 = independent insurance sale

27. 179,000 = insurance sales agent

28. 155,000 = insurance seller

29. 130,000 = insurance producer

30. 126,000 = investment representative

29. 120,000 = insurance authority

30. 119,000 = insurance representative

31. 112,000 = life agent

32. 107,000 = life insurance specialist

32. 104,000 = life specialist

33. 102,000 = insurance adviser

34. 89,900 = insurance sales manager

35. 86,200 = licensed insurance agent

36. 85,200 = insurance manager

37. 71,000 = health agent

38. 66,600 = insurance pro

39. 65,100 = insurance sales rep

40. 60,000 = insurance designer

41. 59,400 = insurance sales person

42. 55,600 = life consultant

43. 54,500 = group agent

44. 52,200 = ins agent

45. 50,100 = estate adviser

46. 50,000 = insurance pros

47. 46,800 = insurance counselor

48. 43,800 = financial pro

49. 43,400 = insurance salesperson

50. 40,200 = insurance sales specialist

51. 37,700 = life producer

52. 37,000 = insurance sales executive

53. 35,400 = independent insurance brokers

54. 34,700 = long term care professional

55. 34,500 = financial planning advisor

56. 33,900 = medical insurance specialist

57. 31,300 = health insurance professional

58. 29,300 = life insurance expert

59. 29,000 = insurance rep

60. 28,900 = financial planning advisor

61. 27,500 = health insurance specialist

62. 26,000 = health insurance advisor

63. 25,500 = independent insurance professional

64. 24,700 = employee benefits specialist

65. 24,000 = life advisor

66. 22,900 = life insurance advisor

67. 21,800 = life insurance sales specialist

68. 19,900 = life insurance professional

69. 19,300 = insurance producer

70. 19,200 = licensed financial planner

71. 16,200 = health insurance producer

72. 14,900 = insurance sales consultant

73. 14,000 = term life insurance broker

74. 12,800 = long term care specialist

75. 12,700 = annuity specialist

76. 12,500 = estate planning specialist

77. 12,200 = insurance marketer

78. 11,950 = life insurance representative

79. 11,900 = insurance planner

80. 10,600 = insurance sales professional

81. 10,400 = life insurance advisor

82. 10,200 = insurance writer

83. 9,650 = insurance recruiter

84. 9,480 = financial planning advisor

85. 9,030 = estate planning advisor

86. 8,570 = annuity broker

87. 7,520 = insurance general manager

88. 7,070 = insurance trainee

89. 6,800 = long term care insurance specialist

90. 6,670 = term life insurance agent

91. 6,440 = long term care insurance agent

92. 5,870 = licensed life agent

93. 5,300 = financial insurance agent

94. 5,270 = annuity agent

95. 5,080 = ins professional

96. 5,030 = medical insurance professional

97. 5,010 = disability insurance agent

98. 4,990 = employee benefits professional

99. 4,430 = mortgage insurance agent

100. 4,200 = disability insurance specialist

101. 3,900 = long term care agent

For your own sake, never tell prospective clients that you are one of 1,500,000 insurance agents licensed to sell life, health, annuities, and financial policies. The term insurance specialist or insurance professional immediately makes your prospect more confident of your abilities. However, please do not use the overused and abused terms of financial planner or estate planner unless you actually are qualified to be one.

If case, you are interested, here are more titles with over 1,000 Google entry occurrences that did not make the top 101 list. They include group health professional, ins specialist, insurance marketing representative, health insurance adviser, ins representative, term life insurance specialist, mortgage life insurance agent, insurance marketing specialist, disability insurance broker, life ins agent, term life agent, senior market specialist, life investment adviser, MDRT insurance agent, and insurance saleswoman.

Should you want to get more attention on major search engines like Google, Yahoo, and Ask, here are some tips. On the front of your website entry page, use the title and first line to put a more descriptive term about the services you provide. Rather than announcing "insurance agent for many products", try this, "medical insurance professional and disability insurance specialist." Both these titles only have about 5,000 competing entries, which could include 3,500 to 4,000 weak ones each. Now it depends on following the advice given, and internet search engine skills you possess. An internet searcher might now find you in the top 100 listings for each of the terms! On an "insurance agent" search, with well over 6,000,000 listings, it might take a 24/7 week to find you listed toward the end of the heap.

Well published author, Don Yerke likes to concentrate on what you don't know or what no one else dares to print. Tell it like it is.

Watch for his new paperback book debuting on Amazon early this summer. It is loaded with great insurance marketing and recruiting information.

Come and get your FREE "Think and Grow Rich" Ebook by Napoleon Hill instantly. The website address is http://www.agentsinsurancemarketing.com

Article Source: http://EzineArticles.com/?expert=Donald_Yerke

How to Select the Right Financial Planner
By Tushar Mathur

There's retirement to plan for and college tuition for the kids. Insurance. Estate planning. And, oh, don't forget a wedding for your daughter. If all this sounds familiar, it may be time for you to start shopping around for a financial planner.

Certain experts, such as stock brokers or tax preparers, are there to help you deal with specific aspects of your financial life. But if you don't have an overall plan, you may well be spinning your wheels trying to get ahead. That's where financial planners come in. One who's trained and astute will typically draw up a written plan that focuses on such things as your retirement and insurance needs, the investments you need to make to reach your goals, college-funding strategies, plans to tackle debt - and finally - ways to correct any mistakes you have made in haphazardly trying to plan on your own.

Before you begin shopping for a planner, one word of caution: Unlike brain surgeons, hairdressers, and plumbers, a financial planner doesn't have to crack a book, take an exam or otherwise demonstrate competence before hanging out a shingle. In other words, anyone can claim the title - and thousands of poorly trained people do. That means finding the right planner for you and your family will take more work than researching the best new flat-screen TV. And so it should. After all, it's your financial future that's at stake.

Here's how to get started:

The old-boy network

One easy way to begin looking for a financial planner is to ask for recommendations. If you have a lawyer or an accountant you trust, ask him for the names of planners whose work he's seen and admired. Professionals like that are in the best position to judge a planner's abilities.

But don't stop with the referral. You should also look closely at credentials. A certified financial planner (CFP) or a Personal Financial Specialist (PFS) must pass a rigorous set of exams and have certain experience in the financial services field. This alphabet soup is no guarantee of excellence, but the initials do show that a planner is serious about his or her work.

You get what you pay for

Many financial planners make some or all of their money in commissions by selling investments and insurance, but this system sets up an immediate conflict between the planners' interests and your own. Why? Because the products that pay the highest commissions, like whole life insurance and high-commission mutual funds, generally aren't the ones that pay off best for the clients. In general, we think the best advice is to steer clear of commission-only planners. You also should be wary of fee-based planners, who earn commissions and who also receive fees for their advice.

That leaves fee-only financial planners. They don't sell financial products, such as insurance or stocks, so their advice is not likely to be biased or influenced by their desire to earn a commission. They charge just for their advice. Fee-only planners may charge a flat fee, a percentage of your investments - usually 1 percent - under their management or hourly rates starting at about $120 an hour. Still, you can generally expect to pay $1,500 to $5,000 in the first year, when you will receive a written financial plan, plus $750 to $2,500 for ongoing advice in subsequent years.

Where to get help

If people you trust can't recommend planners in your area, or if you want to broaden the field from which you choose, you can get lists of local planners from the following trade organizations. Check out each group's website.

* National Association of Personal Financial Advisors
* Financial Planning Association
* American Institute of Certified Public Accountants

Trust but verify

After putting together a list of at least three candidates, arrange face-to-face interviews. These consultations are usually free. Among the questions you'll want to ask are:

* Do you specialize? Many planners try to be jacks-of-all-trades and take any client who can pay. Some, however, work primarily with a certain type of client, such as small business owners or widows. Others tend to focus on one area of financial planning, such as retirement issues or college funding. You'll want to make sure the planner has experience working with people whose financial lives are similar to yours.

* How are you compensated? Any reputable planner won't flinch when you ask this question. It's imperative to find out ahead of time both how you'll be charged and how much.

* May I see your ADV form? This is a report the planner files with regulators. Part I of an ADV (the name stands for adviser) will tip you off to legal or regulatory problems in the planner's past. Part II outlines his or her experience, investment strategies and potential conflicts of interest. Planners are legally required to show you Part II if you ask. They can refuse to show you Part I, but that's a good reason for you to refuse to give them your business.

* May I have the names of three clients similar to me? You'll want to talk to these clients about their experience with the planner. It's also a good idea to ask to see at least one recent written plan; the planner can block out the name of the client to protect his or her privacy.

Finally, be alert for canned sales presentations, which are not uncommon in the field of financial advice. And give the highest marks to an adviser who listens closely to you and asks insightful questions. Notes Stuart Kessler, past chairman of the American Institute of Certified Public Accountants, "Someone who isn't able to listen carefully won't understand what you are looking for."

Tushar Mathur writes regularly about Personal Finance and Investing at Everything Finance (http://www.everythingfinanceblog.com). He also writes about Green Living at Talking About Green (http://talkingaboutgreen.com/).

Article Source: http://EzineArticles.com/?expert=Tushar_Mathur

How Much Life Insurance Do You Really Need?
By Richard Kaloust

Some people equate life insurance with tragedy and death. In truth, life insurance is for the living. Without it, the sudden demise of a key breadwinner could leave a family stranded without the resources to maintain their lifestyle - or even retain their home.

Not so long ago, experts recommended that families carry a life insurance policy with a death benefit of between five and seven times their annual household income. Today, however, in light of rising house prices in many parts of the country and spiraling college costs, most advisors now recommend eight to 10 times income.

Unfortunately, most American families are underinsured. According to statistics from industry research and consulting firm LIMRA International, the average American household carries just $126,000 in life insurance - approximately $300,000 less than they actually need - and only 61% of adult Americans have life insurance protection, a decline from 70% in 1984.(1)

A Cornerstone of Sound Financial Planning

Financial experts generally consider life insurance to be a cornerstone of sound financial planning, for two key reasons. First, it can be a cost-effective way to provide for your loved ones after you are gone. And second, life insurance can be an important tool in the following ways:

1. Income replacement -- For most people, their most valuable economic asset is their ability to earn a living. If you have dependents, then you need to consider what would happen to them if they could no longer rely on your income. A life insurance policy can also help supplement retirement income, which can be especially useful if the benefits of your surviving spouse or domestic partner will be reduced after your death.

2. Pay outstanding debts and long-term obligations - Without life insurance, your loved ones must shoulder burial costs, credit card debts, and medical expenses not covered by health insurance using out-of-pocket funds. The policy's death benefit might also be used to pay off a mortgage, supplement retirement savings, or fund college tuition.

3. Estate planning -- The proceeds of a life insurance policy can be earmarked to pay estate taxes so that your heirs will not have to liquidate other assets to do so.

4. Charitable contributions -- If you have a favorite charity, you can designate some or all of the proceeds from your life insurance to go to this organization.

Determining How Much: A Four-Step Process

Determining how much life insurance coverage you need is a four-step process:

Step 1: Determine Your Family's Short-Term Needs
Short-term needs are financial obligations and/or expenses arising within six months of death. Examples of short-term needs include expenses you pay now such as:

* Loan balances (automobile loans, etc)
* Outstanding credit balances (credit cards, revolving lines of credit, etc)
* Mortgages (first and second mortgage, home-equity loans, lines of credit)

Add to these current expenses any death-related expenses that must be paid in the short term:

* Funeral expenses
* Final medical costs
* Estate settlement costs and probate
* Estate taxes due
* Charitable bequests you would like to make upon your death

If you don't already have one, your survivors should be left with a liquid emergency fund sufficient to get them through any unexpected financial needs. Most advisors recommend between three and six months' worth of living expenses.

Step 2: Determine Long-Term Needs
In addition to covering your survivors' short term needs, some level of monthly income will be needed to maintain their current standard of living and meet financial goals such as saving for retirement and funding college for children. The value of these future obligations is discounted back to present value amounts to provide a dollar amount that, if invested, could provide an adequate income stream to fund all of your long-term goals.

Step 3: Calculate Your Total Available Resources
By this point, you should have a good idea of your family's total cash needs in the event of your untimely death. With any luck, you have already begun to set money aside to cover some of these costs. Other resources that may be available to your family include pensions, annuities, funds from retirement accounts, employer-provided life insurance, and Social Security. The Social Security program offers benefits to survivors under age 17, and those whose spouses were receiving retirement income from Social Security can also count on survivorship benefits. The total value of these future resources is discounted back to present value amounts. This gives us a single dollar amount that we can use to offset your total needs.

Step 4: Provide Funds To Cover A Shortfall
In most cases, comparing total needs to total resources will result in a shortfall. That's where life insurance comes in. Without it, your survivors will be left with the choice of either finding or creating additional resources (such as having the surviving spouse return to work) or experience a decline in the quality of their lifestyle. Life insurance is uniquely suited for covering such a shortfall. It is a means of sharing the financial risk of premature death with many, many others who have similar concerns.

You pay a relatively small premium to an insurance company in exchange for their promise to pay your beneficiaries a specified death benefit in the event of your death. You may find it ironic that a financial need arising from death can be alleviated by a financial resource that is created after death. That's why life insurance, although something no one hopes to ever need, is indeed for the living. It's also a vital issue we can help you investigate in greater detail to ensure your family's financial future will be protected.

1. "Life Insurance Awareness Month," LIMRA International, August 2004
Material discussed is meant for general illustration and/or informational purposes only and it is not to be construed as tax, legal, or investment advice. Although the information has been gathered from sources believed to be reliable, please note that individual situations can vary therefore, the information should be relied upon when coordinated with individual professional advice. Past performance is no guarantee of future results. Diversification does not ensure against loss. Source: Financial Visions, Inc.

Article Source: http://EzineArticles.com/?expert=Richard_Kaloust

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Update August 14, 2009 All About Life Insurance and Financial Planning By Insurance Experts

2009-09-14T08:24:00.000-07:00

Is Your Child Financially Protected?
By Steven Symth

This isn't exactly a great subject but this is basically what it comes down to! Many parents do not think very often about life insurance. Especially those couples who are still young. Life and death is apart of living, but have you really put some thought into the financial security of your family. What if something unexpected was to happen to you?

Lets take a look at two important reasons why you should protect your family:

Reason One:

The death of a loved one is extremely difficult to deal with in the general sense. But what if your family had to deal not only with your death but also with the financial burden and strain of the expenses involved? Funeral arrangements are costly to the best of my knowledge. If you take the right precautions now, your family won't have to suffer these circumstances. You can even go as far as to complete your funeral arrangements through your life insurance provider.

Reason Two:

By getting life insurance you also have the opportunity to choose the best care giver of your children and or pets. This is another area that is heavily neglected by young parents. This is obviously not your fault as death is not something we want to face whilst we are healthy and living. There would be nothing worse than your children having to live with a family member whom you did not approve of. We all want the best for our families, you can make that decision today for your children.

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Article Source: http://EzineArticles.com/?expert=Steven_Symth

Life Insurance Basics: Getting Started
By Megan Mahan

Let’s be honest. The topic of life insurance isn’t exciting or glamorous, but it is important. In fact, many experts consider life insurance to be the cornerstone of good financial planning.

But how do you know if you need life insurance? How much is enough? What kind of life insurance policy is best for you?

Answering these basic questions about life insurance will help to simplify the shopping process and ultimately allow you to select the best policy to secure your family’s future for years to come.

Establishing Your Needs

To clear up any misconceptions, life insurance is designed to protect your loved ones from financial loss in the event of your death. Knowing this, it’s important to establish whether you need life insurance and how much you should purchase.

According to MetLife you generally need life insurance if:

You have a spouse
You have dependent children
Relatives or elderly parents depend on your income
Your retirement funds are not enough to provide for your spouse’s future
You own a business
You have a large estate

The beneficiaries of your life insurance policy can use the proceeds from your life insurance to:

Pay for last expenses and funeral costs
Cover estate taxes (if applicable)
Pay off existing debts (mortgage, car loan, credit card debt)
Pay for everyday expenses (food, clothing, childcare)
Put towards your spouse’s retirement fund
Donate to charity

If you don’t have dependents, you may still wish to purchase a life insurance policy to avoid becoming a financial burden to your loved ones in the untimely event of your death. Young singles also benefit from purchasing life insurance while they’re young and healthy, allowing them to secure a low premium for years to come.

Choosing a Dollar Amount

Figuring out how much life insurance your loved ones would need to maintain their quality of living can be tough. Generally speaking, experts recommend purchasing between 5 and 10 times your annual salary. But, as MetLife points out, your exact need for life insurance will depend on your personal and financial circumstances.

You can get a ballpark estimate of your life insurance needs by first totaling the funds your family would need for the abovementioned items (funeral costs, daily living, etc.). You can find helpful worksheets online that will help you organize and come up with this list of expenses.

After you’ve totaled your expenses, take stock of the funds you have in cash, savings, retirement accounts, bonds, property, pension and Social Security. Subtracting your financial resources from your expenses will give you a rough idea of how much life insurance you should purchase.

When it comes to choosing how much life insurance to purchase, it’s a good idea to get an idea of your needs before buying a policy—but your licensed life insurance professional will undoubtedly help you choose a dollar amount that accurately reflects the needs of your beneficiaries.

Selecting a Policy

Generally speaking, there are two types of life insurance: term life insurance and permanent life insurance. The type of policy you select will depend largely on your life insurance needs and what resources you have to pay life insurance premiums.

Term Life Insurance
Term life insurance, as the name suggests, will cover you for a specified amount of time, which means the insurer will only pay out a death benefit if you die during the term of your policy.

According to the Insurance Information Institute (I.I.I.), most people purchase a 20-year term policy, although smaller terms are available. Of course, you can renew your term life policy after it expires, although your premiums may increase as you age. But all in all, because of the “temporary” nature of term life insurance, policies are generally much cheaper and are therefore an attractive option for young people and families with a limited income.

Permanent Life Insurance
On the other hand, permanent life insurance, as you might have guessed, is permanent. A permanent life policy will pay out a death benefit whether you die tomorrow or in 60 years.

Permanent life insurance is also an appealing option for many because of the added benefit of the policy growing on a tax-deferred basis, which can grow to be fairly large over time. As a policyholder, you may be able to borrow against this cash value while alive, which has been of great help to some. Of course, most loans need to be paid back otherwise they will be subtracted from the death benefit, and your beneficiaries may have to liquidate assets to pay back the loan.

Nonetheless, permanent life insurance offers a wide variety of saving and investment options. Because of this, policies are generally more expensive than term policies, which may be hard for young adults to handle.

Your life insurance professional will help you decide which type of policy is best for your life insurance needs—and your budget. But researching these policy types beforehand can help you narrow down which policies appeal to you.

Knowledge is Power

No, learning about life insurance and planning for the unexpected isn’t glamorous, but it is important. So take advantage of consumer resources and talk to a life insurance professional about purchasing affordable life insurance. You’ll rest easier at night knowing your loved ones are taken care of for years to come!

About InsureMe

Megan L. Mahan is a copywriter and insurance information expert with InsureMe in Englewood, Colorado. InsureMe links agents nationwide with consumers shopping for insurance. Specializing in auto, home, health, long-term care and life insurance quotes, the InsureMe network provides thousands of agents with insurance leads every year. For more information, visit InsureMe.com.

Article Source: http://EzineArticles.com/?expert=Megan_Mahan

The Importance of Family Life Insurance
By Lana Leicester

Everybody strives to get the maximum happiness to their families whatever be the circumstances. The very thought of catastrophic events that might befall us leading to lot of mental agony in providing the maximum security of life for your family. Family life insurance thus comes into picture at this juncture, playing a vital role in the family life of the deceased. There are several long-term life insurance products, which are designed aimed at ensuring the fulfillment of the dreams of family of the deceased. It does not leave you worried anymore, due to the financial burden creeping up with the loss of the earning family member.

Key Benefits:

Terms assurance is available for a period 5, 10, 15, 20, and 25 years. Term Assurance for 5,10,15,20,25 years., In the event of any calamity in the family, financial protection will be provided at a very nominal and affordable cost, Comprehensive overall protection with the assistance of riders, and the most important benefit being the Tax benefit under section 80C and 10 (10D) of Income Tax Act.

Why You Need Family Life Insurance

It is quite natural for anybody to think that there would be no need to have a life insurance policy, but it is indispensable, in the event of a calamity in the family. Remember, there will be nobody to protect the family in the event of the breadwinner's death save a life insurance policy that is easy to obtain.

The mortgage payments on the home of the deceased cannot be cleared by anybody else. It is also difficult for the family of the deceased to make both ends meet. Since there will be no income resources in situations like this, either they will have to be employed irrespective of the age or should get some financial help on a regular basis for which, a family life insurance policy is the only panacea to come out of the predicament.

Click on the following link find a cheap family life insurance coverage in a snap.

Article Source: http://EzineArticles.com/?expert=Lana_Leicester

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Update August 14, 2009 All About Life Insurance and Financial Planning By Insurance Experts

2009-08-14T05:42:00.000-07:00

Life Insurance Basics: Getting Started
By Megan Mahan

Let’s be honest. The topic of life insurance isn’t exciting or glamorous, but it is important. In fact, many experts consider life insurance to be the cornerstone of good financial planning.

But how do you know if you need life insurance? How much is enough? What kind of life insurance policy is best for you?

Answering these basic questions about life insurance will help to simplify the shopping process and ultimately allow you to select the best policy to secure your family’s future for years to come.

Establishing Your Needs

According to MetLife you generally need life insurance if:

You have a spouse
You have dependent children
Relatives or elderly parents depend on your income
Your retirement funds are not enough to provide for your spouse’s future
You own a business
You have a large estate

The beneficiaries of your life insurance policy can use the proceeds from your life insurance to:

Pay for last expenses and funeral costs
Cover estate taxes (if applicable)
Pay off existing debts (mortgage, car loan, credit card debt)
Pay for everyday expenses (food, clothing, childcare)
Put towards your spouse’s retirement fund
Donate to charity

Choosing a Dollar Amount

Selecting a Policy

Knowledge is Power

About InsureMe

Article Source: http://EzineArticles.com/?expert=Megan_Mahan

Lowest Term Life Insurance
By Emily E

When you look for life insurance, what are you searching for? Do you decide because of price, quality, or a combination? In today's economy, many people want the lowest term insurance policy is available. Luckily, you won't need to sacrifice quality for the best price. With term life insurance, you get the best of both worlds.

With term life insurance, you get the same face amount as a whole insurance policy, but for a much lower price. The lower price is possible because the policy will expire in the future, and there won't be any cash value that can be taken advantage of.

Many smart shoppers will use the money they save by getting life term insurance as their bright future and put it in an IRA or securities. The money that accumulates in the accounts will often be greater than the cash value that would build up in a whole life term insurance account. The policy holder often has the choice of not renewing their policy at all.

Don't just take the lowest price for life term insurance policy. Do your homework. Look at customer reviews and ratings before you decide. This is a vital product for the future of your family. They need you to choose correctly, so take your time.

When you apply, answer every question honestly and completely. Don't get to the end and find you've been turned down by an underwriter. The time you invested in finding the lowest term life insurance will then have been wasted.

Emily is known expert on lowest term life insurance. Visit this site best insurance life quote term and get more information about it.

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All About Life Insurance and Financial Planning By Insurance Experts

2009-08-04T10:30:00.000-07:00

Financial Planning in Your 30's
By J Dawkins

Introduction

This article seeks to discuss some of the specific financial planning that needs to be considered by individuals in their thirties. The age range between 30-40 is significant time in relation to financial planning given that it is during this time that many financial decisions will directly effect retirement plans and long term financial matters, all of which will effect future prosperity.

1. Pension Planning

If you haven't yet had opportunity to start saving towards a pension this is a critical time because failure to do so before you reach 40 will almost definitely mean that you will have insufficient time before retirement to build up a decent level of pension contributions to ensure a comfortable lifestyle.

Where possible join a corporate or government related pension plan as these employers often contribute additional amounts to whatever you can afford to save. So for instance if you put 4% of your wages/salary a month into a pension plan they will likely match it.

These schemes are often referred to as final salary schemes, as the pension provider promises to pay you a pension based upon your final salary before leaving the organisation and the level of financial contributions made to the plan. So the sooner you can start saving in your 30's the more pension contributions you will have built up by retirement and the greater your final pension pay out.

2. Property Investment

If you have not yet been able to purchase your own property, your 30's are a good time to get into the market. The benefit those in their thirties have over those looking to buy in their 20's, is that you may already have 10 years worth of savings from employment which can be used to place a larger deposit on the perfect property. This often reduces the size of the monthly repayment levels and the total amount of interest you will have to pay in the long term. Whilst the decision to own a property is down to personal choice it is advisable, as property usually gains in value and is therefore a long term investment In the future you may be able to sell your property and downsize leaving you with a healthy profit with which to improve your retirement.

Delaying a decision until you reach 40 means that your may be unable to retire early in the future due to ongoing mortgage repayments into your 60's or even 70's. In addition insurance payments that you take out for the duration of your mortgage term to protect against critical illness or disability and life insurance or income protection will be cheaper than they would be at 40 because of your age.

3. Life Insurance

Life insurance gets more expensive the older you get because the risk of death increases with age. If you have not yet thought about life insurance consider taking it out now as it will never be cheaper. Whilst no one likes to think about death, it is important to protect loved ones from an excessive financial burden should you die early. Taking out life insurance whilst in your 30's can save you anywhere between $300 and $600 dollars a year on an average policy.

4. Saving for your children's education

If you have children as you reach your 30's, planning for their future educational needs is now critical if you intend to give then a good start in life and not place excessive financial burdens on yourself another 5-10 years further along. College and university education can be very expensive. Costing between $30-40,000 per child. Whilst this figure is spread over a period of years it is important that you start thinking about how you will meet this cost now.

Also think carefully about what level of risk you are willing to expose yourself to as you save or invest for your child's College/University fund. Do you really want to invest in high risk shares where the potential to lose your original investment is significant. Try instead investing in government bonds or placing money on deposit in a high interest savings account.

Summary

This article has attempted to explore some of the financial planning considerations for those in their 30's and the commitment this requires. We have examined the importance of good retirement planning through sound pension and property investment along with the need to make contingency plans through life insurance in case of death. Finally we have explored the importance of thinking now about financing college or university education to dependent children.

Jonathan Dawkins is the author of the Your Free Debt Help blog, which is dedicated to providing free debt resources, guides and information to help individuals with their personal finance management.

Article Source: http://EzineArticles.com/?expert=J_Dawkins

Just What Is A Universal Life Insurance Policy?
By Aazdak Alisimo

Grasping the basics of a Universal Life Insurance Policy is fairly simple, although the concept and its practical applications in individual financial planning can be quite complex and varied. The scope of a Universal Life Insurance Policy is often stated by defining the policy as one that gains actual value during its term. In many ways, the policy might be viewed as an investment vehicle rather than a policy at all. For many owners, the element of the policy is almost secondary. It is the investment potential that is important to them.

This view of the policy is understandable when you take a close look at the exact dynamics of the concept. It has been stated, and with a bit of truth, that the life insurance policy can be compared to a wager between the company and the client. The wager concerns the life span of the client. The company is betting that the client is going to live to a ripe old age and the client is betting that he dies prematurely. If the client suffers an untimely death, he wins the wager.

Now, when it is viewed this way, the client certainly does not want to win. In fact, he has no way to win. If he lives his expected life span, paying his premiums the entire time until the "term" of the insurance expires, he has only the satisfaction that he provided protection to his family during this time, but it was protection that, as it turned out, he did not need. So, the idea of the universal policy gives the client a way to win. The premiums that are paid into it are actually investments.

The funds paid into the product as premiums are invested in the manner of a retirement account or mutual fund. The earnings enjoy tax exempt status as long as the policy is in force and meets IRS guidelines. The earnings can eventually reach a point where they can be used to pay the cost to keep the "death benefit" in force. In other words, the product is taking care of the "protection" function of life insurance at the same time as it is serving as a viable investment vehicle.

The purpose of this insurance and financial product is simple. It is a policy that has the potential to increase in value in the same manner as a mutual fund while providing the basic "death benefit" protection at the same time. There is really no true downside to it except that it sometimes frightens clients who prefer things extremely simple and straight forward even if they are not in their best interests.

Aazdak Alisimo writes about universal life insurance for UniversalLifeInsuranceCompanies.com

Article Source: http://EzineArticles.com/?expert=Aazdak_Alisimo

Who Should Buy Term Life Insurance?
By Denise M

There are a wide range of life insurance products that are floating in the market. Choosing the right insurance policy involves assessing your particular situation and evaluating the right policy for you. It is imperative to choose the right life insurance that fits your bill or which can be customized to suit your particular needs.

Unlike whole life insurance, term insurance is purchased to cover a limited term period. Term insurance pays the insured sum only when the insured dies within the time span of the policy. Term policies do not accrue any cash value. So if you live past the length of the policy, you won't receive any money. It is also important to understand that premiums for term life policies may not be fixed, and may increase from time to time. To avoid this, be sure to look for a guaranteed level premium term life insurance policy. These policies guarantee a level premium throughout the term period.

Advantages of a Term Life Insurance

Term life insurance covers the maximum insurance for your money. It can be beneficial for those families that have more financial obligations than current assets. Here are some of the advantages of a term insurance:

Affordable
Term insurance offers the most affordable premiums against high death benefits.

Simple
Term insurance is the most simple life insurance product available in the market.

Competitive Pricing
Since term life policies are simple in nature, they can be easily compared on the basis of price and features. This makes term insurance an appealing commodity in a very competitive market.

Flexibility
Term Life policies may include "renewability" and "convertability" options. The renewability feature enables you to renew your term policy at the end of the term, without having to undergo a medical exam. A convertible feature allows you to convert your term life policy into an equivalent whole life policy, which accrues cash value, should you feel the need to switch to a permanent policy.

Waiver of premium
There is an additional optional feature called "waiver of premium", which means that in the event of your inability to pay premiums due to circumstances stipulated in the term life insurance contract, the insurance company will waive payments for a stipulated time. However, this feature comes with an extra charge.

Short Term Coverage to Suit Your Needs
Term life is suitable for short term coverage. If your mortgage can be paid up in ten years you may want to choose a term policy for ten years. Most people do not envisage requiring life insurance in their senior years, so a term policy makes sense for short term financial planning.

Deciding If a Term Life Insurance Policy is Right for You
Deciding the right insurance policy is a very important step in securing your family's future. If you are looking for a low cost, budget friendly life insurance plan, choosing a term insurance policy would be your best option. Moreover, term life policy is a good choice for people on fixed incomes and with a growing family. If you have a mortgage, educational loans, estate taxes or other liabilities, your sudden death would place an overwhelming financial burden on your family. Term life provides high death benefits at the most affordable rates. This is why term policies are the most popular insurance policy. You should determine the amount of life insurance coverage that enables your family to clear all debts and provide a tidy some for their future. You may want to include college funds for your children in your coverage.

Here is a quick check-list that can help you to decide if a low cost term insurance policy is right for you:

If you're on a budget and cannot afford a very high premium.
If you are young, and in good health. You can take advantage of low premium rates.
If you are looking for a simple, straight-forward, low cost life insurance plan to protect your beneficiaries.

Most people need life insurance and term life is suitable for all stages of life. Term life policies offer a cheap option to suit your needs. Term life is also easy to purchase. Many online insurance providers have access to hundreds of reliable insurance companies. By feeding in your personal information, you can receive numerous quotes for comparison within minutes. Remember to be completely honest in answering questionnaires. Use sites that are absolutely safe and are certified by the Better Business Bureau to safeguard your interests. Many online sites, provide cheap initial quotes to attract customers. They may end up being a disappointment.

Many people think they may not be eligible for a term life policy or they will have to pay high premiums because they suffer from certain health conditions. But there are online insurance providers who can help you find life insurance companies that may look more favorably on certain medical conditions than the regular life insurance companies. This is where shopping around for term life policies will come into play. If your health is poor, you may want to check out these Insurance FAQs for help in how to find companies that may be able to offer you more favorable quotes even if you do suffer from certain medical conditions.

Conclusion
Choosing the right life insurance that suits your needs is simple once you've studied your options thoroughly. Utilize the Internet's resources to educate yourself about life policy basics. Factor in your personal situation, present debts and future liabilities and you will be able to gauge how much life coverage your family would need. Many online insurance quote providers can help you with your queries and offer professional advice on choosing the right policy for your particular situation. And once you factored in all the scenarios, and have numerous term life policies to evaluate, choosing a life insurance not only becomes easy, but beneficial too.

AccuQuote is a leader in providing term life quotes to people across the United States. In 1986 it began operating with a single goal: to make the process of buying term life insurance as easy as possible for its customers. Their experienced professionals consistently deliver the most affordable term life insurance rates by comparing thousands of life insurance policies from dozens of top-rated carriers.

Article Source: http://EzineArticles.com/?expert=Denise_M

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All About Life Insurance and Financial Planning By Insurance Experts

2009-08-04T10:27:00.000-07:00

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Low Load Life Insurance - The Secret Is Finally Out
By Chimezirim Chinecherem Odimba

Low load life insurance has been kept as much a secret as possible by insurance agents. Companies sell life polices at very low rates because they either offer very little agent commissions or none at all.

However, don't go for these companies unless you're very sure you know enough about life insurance and do not need an agent to guide you through.

An agent is there to help you through with things you don't understand and is therefore very useful. Only those who are experts in financial matters in their own rights can make the right choices without a life insurance agent. The role an agent plays is very vital to your financial planning.

A low load company offers very low rates. A 30 year old woman can expect to pay as low as $200 for a $250,000 coverage with a low-load company.

Although you'll attract very low rates, you can make the mistake of a lifetime if you don't know enough to make a decision without an agent's assistance.

But, please bear this in mind: Some agents might offer you low-load life policies as some traditional insurance companies now also sell them. It's also good to point out that you can get very low rates too without buying from low-load companies.

You might save several hundreds or even a few thousand dollars by simply obtaining and comparing life insurance quotes from not less than three online sites. Doing this will take you around 15 minutes. As you visit each site, make sure you give the same information. Furnishing false information will produce misleading results. You can just pick the cheapest quote when your quotes are returned.

Here are my favorite pages for life insurance quotes...

InsureMe Life Insurance Quotes

Life Insurance Quotes

Publishers can get unique versions of my articles by following any of the links above. Click on "To Use My Articles" when you get to my site.

Chimezirim Odimba writes on insurance.

Article Source: http://EzineArticles.com/?expert=Chimezirim_Chinecherem_Odimba

Benefits of Buying Life Insurance Online
By Denny Kuty

Life Insurance is most certainly a dry subject matter. In fact, most people would like to avoid thinking about it altogether. The Insurance Information Institute survey suggests that one third families in the United States with a new born baby fail to update their life insurance cover. However, easy and quick online policy buying methods are very encouraging for policy buyers.

The idea of planning for one's death is quite unpleasant. However, several reasons necessitate the need for evaluating the purchase of an insurance plan. Existing policy buyers may also be compelled to review their financial needs. The right type of insurance cover can provide ample peace of mind. Useful tips provided in this article can help policy buyers to purchase an online policy plan at an affordable price.

To begin with, insurance plan buyers should evaluate their individual financial needs. Using online calculators, funds required by the spouse until retirement and for children's higher education should be determined. Initial ground work is important before deciding to buy a policy or hiring professional help. Information available on websites can educate the policy buyers to be confident and well informed.

Policy shoppers may choose not to pay for professional advice. Instead they may use free online quote systems available on various websites. Online quote systems help policy buyers to compare costs. Free web tools assist in the search for plans that offer discounted premiums. Free quotes for policies with critical illness, mortgage protection and income protection are available on the internet. Term Insurance is best suited for individuals in the age group of twenty to fifty years. Most people would benefit from the Term Insurance plan. However, wealthy individuals over the age of sixty would derive more benefits from a cash-value insurance plan.

Prior to making a purchase, buyers of policies should decide the method of purchase. Either they can purchase the plan independently or seek guidance from a financial advisor by paying a fee. Policy buyers also have to option of buying a policy plan through a financial planner or an insurance agent and paying a commission for their services.

It is recommended that every policy should be carefully checked for any errors or inaccuracies. The signed delivery documents along with the first premium check should be sent to the insurance company. Thereafter, the policy will be activated. As is the case with any other legal document, a copy of the insurance policy should be deposited in a safe place.

Most importantly if policy plans have been purchased online beneficiaries should be informed about the file location if it is a soft copy. Alternatively, the beneficiary can be provided with a hard copy of the entire policy plan.

Denny is a Top Insurance Traffic Producer in the US. He drives traffic to top insurance carriers across the country. If you need any type of insurance or would like a free quote then get your Free Online Insurance Quote Today and check out our national insurance leaders Get Yours Now

Article Source: http://EzineArticles.com/?expert=Denny_Kuty

What Are the Benefits of Life Insurance?
By Don Lewis

Many people wonder, "what are the benefits of life insurance?" Life insurance is a vital part of most people's sound financial plan. Especially if you are younger and just starting out in your career or still in the wealth accumulation stage, you probably need life insurance.

Life insurance, however, often gets overlooked because
1) There's no law requiring it;
2) Many people don't like thinking about their own death so they avoid it;
3) It's not "tangible" so people can have trouble seeing its value;
4) When people think about financial matters they prefer to think of their own accumulation, not paying somebody else "just because they die";
5) Some people get offended at the thought of "putting a price on their life", even though that's not at all what life insurance is about.

But with life insurance, you get an immediate estate created for you. You are protecting those you love from the financial effects of your untimely death. You could also be protecting your own legacy if you use life insurance as a "key man" policy on yourself when you own or are a partner in a business, or use life insurance as part of estate planning if you are one of the "rich".

So, you are not trying to pay people just because you die, and I'm sure that they don't want you to do that (if you think they do, you had better re-evaluate your feelings for them!). Instead, life insurance is supposed to be carefully planned out between you and your agent or a financial planner so that you figure out the amount of death benefit that you need to protect your spouse, children, etc from awful consequences of your untimely death. In this regard, most people are underinsured.

The true recommendation is that you carry anywhere from eight to 20 times your current income as your face value on your policy. This may sound extreme, but think about the consequences of your death. After your funeral expenses are paid, your survivors will probably need to replace your income to continue taking care of things. If they can't do that, they might lose their home, they might struggle to afford basic necessities, their lifestyle might be diminished (if you love them you never want this to happen), they might suddenly have creditors hounding them, they might not be able to pay their health insurance premiums, and other dark possibilities.

Many people plan badly with insurance, and sometimes incompetent or inexperienced agents don't help matters. They might plan just to have the mortgage paid off, for instance, and never dream of the necessary income stream (most of the death benefit would be put into a safe interest bearing account that gets a better return than the rate of inflation and some would only get taken out when necessary). Life insurance is not just about your survivors paying for a funeral, paying off the house, or having extra money to "escape" with to forget about your death. It should not be just about immediate considerations, but requires long term planning.

So, the next time you wonder, "what are the benefits of life insurance?", just try dying for a moment.

Are there Taxes On Life Insurance? Click here to find all the Life Insurance Advantages and Disadvantages

Article Source: http://EzineArticles.com/?expert=Don_Lewis

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All About Life Insurance and Financial Planning By Insurance Experts

2009-08-04T10:25:00.000-07:00

The Best Insurance Company to Protect Your Family
By Tiffany Nelson

With certain things in life, you don't want to make mistakes. Life insurance is one such thing. If you die, the death benefits from your life insurance policy will guarantee your family's financial security. People get stressed out about buying life insurance because they want to get sufficient coverage to take care of their beneficiaries, but they also want to avoid paying high insurance premiums. How can they find the best insurance company to take care of them?

There is no one-size-fits-all answer to this question, but you can definitely find the best company to deal with you and your situation. Here are some tips for finding the "best" company.

The Internet is a useful tool for researching potential insurance companies. Use it to look up consumer reviews on certain companies. Talk to friends and neighbors about their recommendations. An independent insurance agent can also provide you with invaluable advice. In general, the best coverage at the best price will be through your employer, but it's a good idea to shop around and make sure.

Ratings services like Moody's and Standard and Poor's allow people to check up on the reputation of different insurance companies. It's important to check these resources, especially if you're buying insurance from a lesser-known provider. In general, insurance companies are in good financial shape, however. Once you've narrowed down to a handful of prospective companies, it's time to start requesting quotes.

When you buy life insurance, you may choose from one of two main policy types. Term life insurance pays death benefits to your family if you die within a certain period of time. This is usually 5, 10, 20, or 30 years. Term policies usually don't have cash value when cancelled. Permanent life insurance policies have both a death benefit and a cash value if you cancel the policy. The cash value of the policy increases over time, and the premiums and death benefit usually stay about the same.

Click here to get a fast quote from best life insurance company.

Article Source: http://EzineArticles.com/?expert=Tiffany_Nelson

Life Insurance For a Single Person
By Christy Love

If you are a single person, it's a good idea to have at least enough insurance to cover your burial. The average cost of a funeral in America is between $7,000.00 and $14,000.00, depending on your final wishes. If you only desire to be cremated, you need at least $3,000.00 of coverage.

Take into account also, what debt you may leave behind. If this debt will become the responsibility of loved ones, you should have enough coverage to protect your loved ones from a financial burden, following your death.

Term Life...

Many single people have term insurance to cover them for just the reason, stated above. Term life is very inexpensive. It does not build any cash value and it not permanent, however.

Whole Life...

If you're a young person looking for permanent insurance that will have level premiums, level death benefits and will build cash value, whole life insurance is what would be suggested. The monthly premium never increases, the death benefit never decreases and the cash value is guaranteed for as long as you live, or until age 100.

Regardless of the type of insurance policy that you select, protecting your loved ones, family and friends from a financial burden when you die, is a responsible and caring act.

To find an insurance company that offers low insurance premiums for single persons, you can conveniently compare policies and quotes, online. You do not have to actually apply for insurance online to have access to quotes and policy details. It's the responsible thing to do.

http://www.LifeInsurance4All.com/ is a free tool that you can use to compare life insurance policies and quotes, including for people that are single.

Christy Love is a Platinum Level Expert Author at EzineArticles.com.

Article Source: http://EzineArticles.com/?expert=Christy_Love

Life Insurance - When It's Critical That You Get It
By Chimezirim Chinecherem Odimba

Getting a life insurance policy is one smart way to do your financial planning. But while it's great if everyone has it, it NOT critical for all. This article will help you see if you fall into the group that needs it critically...

1. Are you a bread winner and want to ensure that your family isn't exposed to financial hardship if you pass on? Then you need a policy.

Your kids can still attend the college you dreamt of. Few things are worse than having your kids' lives made harder than it should be because you didn't plan right.

2. Do you have an outstanding mortgage on your home? You also need life insurance even if you're NOT the bread winner.

Have you considered what the demise of a spouse can mean? The kids would have to be catered for -- This means higher expenses since you'll need qualified help. The house-keeping needs will come to the fore. Many people do NOT take time to appreciate the great work homemakers do daily.

3. Do you have a business partner? What would happen if they passed on? Would you be able to buy out their part of the business or be stuck with their kid or heir who knows nothing of your business.

Unless this partner was really doing nothing, you'll lose their expertise. How do you get that quality of expertise quickly if you cannot cough the kind of money that would attract the right persons?

4. Do you have highly skilled workers on whom you've invested a lot in. They might be on a contract with you for a number of years but what happens if they pass on before you recoup your investment?

If you took out a policy on them (with your business as the beneficiary), you'll find it a lot easier to bounce back.

I know many don't buy a life insurance policy because it would cost them much. But then you can get the right life insurance coverage if you belong to any of these groups for a lot less. All you have to do is read up on tips provided in my other life insurance articles and then get and compare quotes from a wide range of insurers.

In fact, getting and comparing quotes alone can help you save up to $1,000 in some cases.

Here are great pages for life insurance quotes...

InsureMe Life Insurance Quotes

Life Insurance Quotes

Chimezirim Odimba writes on insurance.

Article Source: http://EzineArticles.com/?expert=Chimezirim_Chinecherem_Odimba

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All About Life Insurance and Financial Planning By Insurance Experts

2009-08-04T10:23:00.000-07:00

Most individuals are aware of responsibilities towards their family and loved ones. One of the primary reasons therefore for buying the Life Insurance policy is that individuals are keen in providing the much needed financial protection to their family and loved ones in the event of their sudden death. The National Association of Insurance Commissioner (NAIC) is the governing body for all providers of National Life Insurance policies in the United States. It is strongly recommended by NAIC that potential policy buyers should review certain vital aspect before making a well informed choice about the National Insurance plan.

The NAIC provides essential tips to potential buyers of National Insurance policy during the annual Life Insurance Awareness program conducted in the month of September each year. This article outlines important review points to educate customers about insurance and to help individuals make a well informed choice about the right National Insurance policy plan.

The first most important thing that policy buyers are suggested to do is to review the amount of life insurance cover to determine if the sum insured in the past is still appropriate for their current financial situation.

The NAIC offers a handy checklist with useful tips to all National Life Insurance holders in assessing if their present plan provides them with maximum benefits.

The basic guidelines provided by NAIC include certain tips for proper evaluation of the National Insurance policy. Firstly, provision of financial support to the policy holder's spouse in the event of the sudden death of the policy holder. Secondly, provision of funds to maintain the property or estate developed during the lifetime of the policy holder and appropriate allocation of such funds to beneficiaries of the deceased policy holder. Thirdly, funds provision for major financial responsibilities such as mortgage debt or car loan.

The NAIC also recommends that policy buyer's should consider long-terms goals such as retirement or children's higher education prior to deciding the amount of insurance cover. For example, the Term Life Insurance is short period plan which offers limited reimbursement to beneficiaries as compared to Whole Life Insurance plans which also provide cash value.

Finally, before purchasing any type of National Insurance policy, financial experts recommend that policy buyers should ensure that the insurance agent or company is licensed to sell insurance in their state. Policy buyers can confirm this from the State Insurance department using the toll free number which can be obtained through search engines on the net using key terms.

These tips can help potential buyers of National Insurance policy to make a well informed choice about the insurance plan which will earn maximum benefits not only for the policy holder but also the subsequent beneficiaries.

Article Source: http://EzineArticles.com/?expert=Denny_Kuty

Final Expense Burial Insurance Policies For Senior Financial Planning
By Marilyn Katz

Find No Medical Exam Life Insurance for Senior Citizens at http://www.nomedicalexam.net/seniorlifeinsurance.html

Choosing a Reliable Life Insurance Company
By Michael Ezie

Life insurance companies compete on various selling points. Some try to gamble their claim to be the best by giving lower premiums, whereas others confess their premiums for a similar policy are higher but they have other advantages such as better customer service, quicker payout times in case of a claim, better financial solidity, a wider range of products, etc.

With so many companies selling life insurance, a lot of people have a difficult time choosing which life assurance company to pick for their necessities. This matter is principal in everyone's mind these days with the financial questions in the global economy that have witnessed many such companies meeting difficulties and having to ask for government monetary help.

One of the best methods to ensure that you are getting the right policy is to opt for a well-qualified life insurance company. All life assurance companies have a variety of policies that cater to people from all walks of life.

Before you begin seeking a reliable company, you need to first make a decision whether you want term or whole life insurance. Once you come to a decision, you can discover more information about each type of life indemnity and the advantages given by the various companies you contrast.

The most dependable way to discover whether or not the life insurance company from which you have chosen to buy your life assurance is trustworthy and reliable is to make some research. There are a number of ways to do research to get the best one. You might want to have a discussion to any family members, friends, co-workers, etc. who apply the same company. You might want to read information given about the life assurance company, like company Web sites, and talk to an agent. Or, you might want to look into how high the company is rated by a variety of independent financial rating services.

Keep in mind, choosing a reliable life insurance company involves more consideration than just ensuring the company is financially established.

By making some research, you will be able to discover the best life insurance company for your necessities as well as the necessities of your family.

If you want to get some excellent resources on life insurance, please visit my site on All about Life Insurance or Life Insurance Company

Article Source: http://EzineArticles.com/?expert=Michael_Ezie

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All About Life Insurance and Financial Planning By Insurance Experts

2009-08-04T10:21:00.000-07:00

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Does Life Insurance Make Sense For A Retiree?
By Robert Zimmerman

The question that commonly faces those in the retirement zone is: What should be done with my life insurance policies? And, should I consider putting money into a new plan?

Typically, we have been indoctrinated to understand that life insurance is intended to replace income when there are dependents who would be impaired if the breadwinner passes on. Who would make the mortgage payments, bring home the bacon, pay for education, etc? These are valid reasons for carrying life insurance protection that may no longer be true for seniors, and may lead one to terminate coverage, and thus reduce the outlay required to maintain the coverage in force.

Over the last few years, there have been significant changes in the life insurance industry that should be evaluated. In short, these changes have made life insurance benefits available to the insured while still alive. Known as 'accelerated benefits' , these innovations first became commonly available some years back as a offer to advance a portion of the life insurance face amount if one were to be pronounced 'terminally' ill. In other words, if a doctor certified that your life expectancy was 24 months or less, you could be advanced up to 50% of the face amount of your policy while still alive as a financial relief during that time.

Since that benefit was introduced, there has been an increase in the benefits offered to cover 'chronic' illness. This means that a doctor certifies that you are not able to perform at least two out of six normal 'activities of daily living'. Those who have purchased insurance for long term care will recognize this term as the same requirement for benefits to be paid under that type of contract. Typically, there is a restriction on the amount that can be used while living, and that normally limits the available benefit 2% of the face amount of the insurance per month. For example, a $200,000 face amount could provide up to $4,000 monthly to help pay for health care either at home or in a facility.

This development now casts the life insurance decision in a whole new light. If a senior citizen is healthy enough to qualify for new insurance, he can set up a $250,000 life insurance plan that he can use to eliminate the need for long term care insurance. Unlike insurance for long term care, he can know in advance that he will never be subjected to increased premiums if the insurance company finds they have a need for more money to pay claims, as they are now noticing. And, recognizing that many seniors believe the long term care insurance is only needed for the 'other guy', because they are too healthy and so on, that objection is no longer valid. Everyone will use this plan someday, since nobody lives forever.

If you have an existing life insurance plan, your may question the wisdom of discontinuing it in favor of a new plan. You can look at it this way: If a new car came out that doubled your gas mileage, would you consider trading in the old one? If you are under the impression that your cost of insurance is lower because you bought the plan at a younger age, you need to have someone show you how to calculate the true cost of life insurance protection. You may be surprised.

Existing policies have established values, and these values can be realized in a number of ways that an experienced planner can help you with. If you are serious about upgrading an older style plan, the first thing you need to do is to find out if you can satisfy the requirements to obtain a new policy. There is no point in getting excited about something that will not be available to you because of poor health.

It is pertinent to ask about costs, since the amounts required from a retirees budget can be significant. Costs will vary, of course with age, health and other factors. As with any financial decision, you evaluate what you get for what you give. You might find it to be an unworkable situation, but you may find the value to be an unbelievable investment, not only for peace of mind, but also financially. There are many retirees who are in this position: Move $1 from one pocket and have it show up in another pocket as $2 (or more).

In that respect, you may find it hard to believe that you could fully guarantee a return of $2 or more for every $1 you put into a plan, and that return would be fully tax free to your estate. If, for example, you were able to allocate $100,000 from a 401K plan or an IRA, and know that there would be a $200,000 guaranteed payout, would that not be a superior investment to include in your planning? And, particularly so if it eliminated the need to be concerned for long term care expenses?

The chance of being offered this alternative is very slim if your financial advisor does not have the necessary licensing, or the comfort in dealing with insurance contracts. If that is the case, you would be well advised to seek out a practitioner who can offer you the full menu of choices, even if it necessary to refer you to a specialist. This is commonly done in the field of medicine. It should not be forsaken when dealing with your financial health.

The impact of proper planning in this matter cannot be overemphasized. It is true that not everyone will be able to implement this plan, since we all reach the point where insurance underwriters run the other way. For those who can qualify, however, it will be easy to recognize in a financial sense that your good health is the major asset you have.

Like it or not, we all must be financial planners. Bob Zimmerman now brings over 50 years of experience to the aid of those seeking to better inform themselves. Holding a BS degree in Finance from the University of Detroit, he also has an MBA degree from that institution.

He spends his senior years devoted to advancing the goal of educating the public. To that end, he has published a book - THE ANNUITY-FROM MYSTERY TO MASTERY. It is further described on his website - http://www.safemoneyplus.com

Article Source: http://EzineArticles.com/?expert=Robert_Zimmerman

Life Insurance Creates Security
By Carson Koziol

Many individuals would love to find a financial guarantee to help them feel more secure about their future. It takes an awful lot of convincing to make people feel confident in any guarantee these days. Many suggestions and ideas are available but, just how many are secure? Whether you are a young professional just starting out, an established professional with a client base, or the retiree who already made his or her mark, something as simple as LIFE INSURANCE can provide security in today's tough times.

Life Insurance comes in many forms. A term life insurance policy or a whole life insurance policy, can be the magic bullet to get you planning your financial future in the right direction. Even better fixed rate annuities can offer guaranteed tax deferred returns. Imagine a guaranteed return of your money and a return on your money, depending on what you invest, you can do quite well. With the option to roll it over at the end of the 5,6,7 or even 10 year term you have chosen the tax deferability continues as well. In my opinion more people should start considering these options and start researching various insurance carriers and their rates. After all, several insurance companies are still very strong, making wise, safe and sound investments, and no matter what your financial planner tells you, aren't going anywhere. As we have all seen 401(k)'s are suffering in this recent depression. Fixed annuities can maybe add stability to your portfolio.

You can find open forum discussion on these topics as well as helpful tips at Moneyferret.com. Also, if you live in Nevada you can go to Aisreno.com and begin researching these products today.

You can find open forum discussion on these topics as well as helpful tips at http://www.Moneyferret.com Also, if you live in Nevada you can go to http://www.Aisreno.com and begin researching these products today.

Carson E. Koziol
I am a licensed insurance agency owner in Nevada

Article Source: http://EzineArticles.com/?expert=Carson_Koziol

Why Bother With a Life Insurance Settlement?
By Peter Crump

A life insurance settlement is the amount of money your beneficiary collects when you die during the term specified under the life insurance policy. The premiums you pay depend on the type of life insurance and the amount of the settlement you want to have if and when the life insurance company has to pay out. You might get a policy a lot cheaper if you opt for term life insurance because there is a possibility that you will never get to collect the settlement.

Settlements have become a very important factor in the estate planning process for seniors. Prior to the life insurance settlement industry, if a senior owned a policy that was no longer wanted, needed or could afford, there was no option but to lapse, cancel, or surrender the policy back to the carrier for the cash surrender value. Senior life insurance policies allow qualified policyholders to liquidate a policy for an amount much higher than the cash surrender value. Then, these seniors can take advantage of important financial opportunities using the proceeds of an unneeded or obsolete life insurance policy.

There are two types of life insurance settlement transactions: One kind creates immediate liquidity from a non-performing asset, allowing policy owners to cash out of unwanted, unaffordable or obsolete life insurance policies insuring a senior over age 65. The other is a Viatical settlement, which enables someone facing a terminal illness to utilize the present day value of their life insurance policy to ease the financial burdens that can be caused by the high costs of medical care. Knowing that there are options on how to receive a settlement with senior life insurance can take off some stress in a stressful situation.

Over the past few years, life insurance settlements have gained popularity among the financial planning community as the financial benefits to policyholders have become far too good to ignore. As this industry continues to grow, many financial professionals have begun to recommend this financial service to their friends and families. This enables more and more life insurance policy owners to access the unrealized equity built up inside an asset that is normally considered only as a future benefit. Thus, it has become much more than a settlement that is used at the time of death.

By being informed about life insurance settlements, you can help turn a policy on the verge of cancellation, surrender or lapse, into an immediate cash settlement. It's a true win win opportunity!

A life insurance settlement is an important event.

For a website totally devoted to Life Insurance visit Peter's Website Life Insurance Answers at Life Insurance Answers and find out about Life Insurance as well as Cheap Life Insurance at Whole Life Insurance and more, including Online Life Insurance, Term Life Insurance and Life Insurance Agents.

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All About Life Insurance and Financial Planning By Insurance Experts

2009-08-04T10:16:00.000-07:00

Most people do not like to think about dying. Even while dying, most people do not want the end to come. Sometimes, in an effort of trying to forget about "the end", people will forgo important details related to their death, such as proper financial planning for those left behind. However, to show love to those left behind, we need to financially plan for when we are no longer alive.

According to the article, Economic Crisis Heightens Financial Fallout for Bereaved, "One in five people fall below the official poverty line following the death of their partner." The article went on to say that women tend to be affected more than men, although men can be affected. What does this say, though? People have a 20% chance of being not just poor after a spouse's death, but below the official poverty line, especially if you're a woman.

According to the US Census Bureau, a person (such as a widow or widower) with no children at home under age 65 is in poverty if their income falls below $11,201! Now, I'm not sure about you, but if I only made $11,201 or less per year, I'd be eating lots of Top Ramen! The thresholds are different based on your number of dependents and your age, but you get the idea that the official poverty line is quite, for lack of a better word, poor!

So 1 out of 5 widowed people make less than $11,201 per year following their spouse's death (assuming they are under 65 living alone). What about if the widowed person had children? Then the official poverty line would states that the mom with two kids would make less than $17,346 per year--that still sounds like lots of Top Ramen, skipped meals, a scary apartment and shopping at Goodwill. But that is what someone making $8.33/hour working full-time can expect to make in a year!

So how can a person avoid having their widowed "better half" in financial ruin? Lessons I have learned have included the following:

• Meet with a financial planner prior to death. Ideally, it would be best to draw up a plan while healthy, but if you are dying, no time is better than the present! This can save your spouse a lot of "grief" after your death.

• Make sure that all of your beneficiary designations are correct.

• Make sure to be adequately insured. Every situation is unique, so it is important to talk with an insurance professional about what is important for you and your family.

• Talk with your spouse about a contingency plan after your death so that there is less "guesswork" for them to do alone.

• Depose of assets while you are still alive and can make the decisions together. If, for example, a house needs to be sold no matter what after your death for your spouse to cover expenses, then work on getting the home ready for selling currently.

• While you can, help your spouse get ready for the workforce if they have been staying at home or help them improve their skills if their salary/retirement income is less than necessary to cover expenses. Help them now with writing a resume, cover letter and/or signing up for college classes/continuing education.

• Stay educated about changes for benefits through the government. Many people do not realize that their spouse may not receive survivor benefits from the Social Security Administration (SSA) while others did not realize that the SSA even paid any benefits other than retirement. Stay savvy about what your spouse may or may not receive.

Do not let your spouse be another statistic when facing your death. Instead, take proactive steps today, whether healthy or sick, to taking care to make sure that your spouse will have enough to live off of when you have died.

References

Economic & Social Research Council (2009, June 21). Economic Crisis Heightens Financial Fallout For Bereaved. ScienceDaily. Retrieved June 26, 2009, from http://www.sciencedaily.com/releases/2009/06/090621143219.htm

Social Security Administration. (2009, April 1). Widow, Widowers and Other Survivors. Retrived July 9, 2009, from http://www.ssa.gov/ww&os2.htm

US Census Bureau (2008). Poverty Levels. Retrived July 9, 2009, from US Census Bureau website.

Kimberly Rose Carolan is a writer and speaker about grief issues since her father's death to skin cancer. She is the author of Walking through the Valley of the Shadow of Death, a book about the holistic effects of grief, how to grieve well and how to help those grieving around us. She has a B.S. in Business Administration from Southwestern College. For more of her articles, check out her blog at http://walkingthroughthevalleyoftheshadow.blogspot.com

Article Source: http://EzineArticles.com/?expert=Kim_Carolan

Term Life Insurance - The Financial Effects of Smoking
By Lou Del Ricci

Smoking can affect Pennsylvania term life insurance rates in a rather expensive manner. It common knowledge that a smoker will generally pay a higher rate than those who choose not to smoke. The chance of acquiring a life threatening disease is much higher with tobacco usage. Life insurance companies compensate for this by "rating up" a policy to cover the risk. It's worth mentioning that some carriers will not raise your rate if you smoke an occasional cigar (i.e. once a year for a new born baby).

Depending upon when you quit smoking, there will be different classifications. If you have been without the use of tobacco for five years or longer you'll received the best rate available, which is usually "preferred plus". If the amount of lapsed time is three years then the rating would be "preferred". The "standard" rating would apply if there was no smoking for more than one year. Please remember that if there are other medical conditions, besides the use of tobacco, then the rate will also be affected.

There is a temptation to lie on the application. Please be aware that:

1. Life insurance companies conduct an exam which includes a urine sample that would detect the use of tobacco.
2. If you were to falsify the application and the insurance company finds out they could cancel the policy. This would be quite unfortunate if death occurred and payment was withheld.

I don't want to sound like I'm preaching but discontinuing your smoking habit will pay dividends in more ways than your life insurance premiums. Your overall health and feeling of well being will most certainly be enhanced. Not to mention the money that'll be saved from not having to stop at the local grocery store for cigarettes.

Simply put, Pennsylvania term life insurance will be much more affordable if you STOP SMOKING.

For more information on plans and rates I recommend the following website http://www.topratedplans.com

Article Source: http://EzineArticles.com/?expert=Lou_Del_Ricci

Getting the Right Life Insurance Policy
By Michael Ezie

A Life insurance policy is a deal between an insurance company and the insured which assures to pay out a certain amount to your beneficiaries in the occasion of your death.

The advantage from a life insurance policy is not for you. It is to give for your loved ones, but after you have gone. After your death, the money is paid to those who depend on you to provide them a protected standard of living, which they might lose if you should die. This is money when they need it the most, with no income tax or publicity.

When it comes to buying life insurance, determining which type of policy to purchase can be a challenge. But by understanding about the features of available policies and working together with a qualified agent, you'll be able to pick the proper policy to guard your loved ones.

You should bear in mind that your family still needs your income after your death. You want a policy the proceeds of which could be paid out in the form of an income. The best method to do these things is to purchase a life insurance policy to care for the cash needs and another policy that would give income at your death. In either case the most frequently used policies are the 20 year term life, the 25 year term life or the 30 year term life assurance policies.

There are a variety of aspects to think before obtaining a life insurance policy. One of them is a sustained uncertainty about the importance and need for life assurance. It is pertinent for all those who are concerned on the financial future of their family in case of death.

There are a variety of types of life insurance policies customized to go well with the different necessities of various individuals. Relying on the number of dependents and sort of insurance necessities, an appropriate policy can be elected after discussion with financial experts and advisors.

Life insurance policies vary from company to company, and thus the various parameters should be analyzed carefully with the assistance of experts and financial advisors to obtain the best contract.

Getting a life insurance policy is something that you should not rush into. If you are planning to submit an application directly for life assurance, then you may get it easier to make a claim online. All the information will allow you to make the suited decision concerning the best company to get your most appropriate policy from.

If you want to get some excellent resources on life insurance, please visit my site on All about Life Insurance or Life Insurance Policy

Article Source: http://EzineArticles.com/?expert=Michael_Ezie

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