We understand that making
decisions regarding your estate planning is a very personal decision.
We never tell someone how much
life insurance they need or should purchase. The factors that
determine the amount necessary are as individual as the people
involved.
We provide a range of services. Some people have already
carefully researched the process, and simply want a quote
for a specific
amount of insurance to be in place for a specific period
of time. Other clients appreciate using us as a facilitator
for a conversation
that can help translate financial goals into a lump sum amount
of insurance that could be purchased.
For example, we help
people think through the various cycles of life, and ask
them to articulate what their goals are
for each phase, should a premature death occur to someone
currently
providing an income or array of services for a household.
Examples include:
- Immediate needs – are their debts
that you want paid off? (Mortgages, home equity lines
of credit, auto loans, revolving
debt and education loans fall in to this category.)
- Immediate
income needs – between now and the youngest
child’s graduation from high school, is there
a need for a monthly income stream to replace an income
or services?
Keep
in mind how the things accomplished in step #1 might
impact the monthly income needed.
- Education funds – are their students in the
household for whom you want to provide an education?
What amount
should be set aside?
- Empty nest – is there a need for
continuing income once students are self-sufficient?
Once
answers to these questions have been articulated, we work
together to translate these into a single lump
sum,
understanding
that said lump sum will be invested. From the lump
sum, we subtract any existing life insurance or income
producing assets that are
already available to meet this need. Life insurance
quotes
are then provided for any gap, should one exist.
The Importance of Involving Other Trusted Advisors
It is vital that wills are up to date and that you
have potential executors and guardians in place.
Has your
attorney weighed
on how the beneficiary designations in your policy
should read?
It is critical that we make these designations
in accordance with how your will has been written.
Do you
have a financial planner? Our preference is to know our client’s
preference in financial planners so insurance proceeds can
be stretched as far as possible
and with the least
tax consequences during distribution.
Our goal
is to earn a seat at your table of trusted advisors. When
we work together as a team on your
behalf, you are
better positioned to have your goals realized,
and your loved ones
provided for than if you simply buying a policy as a commodity. |
