Life Insurance: Difficult Decisions

reprint for Farmers

The difficult discussion?
The important discussion 

According to LIMRA’s 2010 Life Insurance Ownership Study, a study that’s conducted every six years, many U.S. households are underinsured: 

Only 44 percent of U.S. households have individual life insurance.
Half of U.S. households (58 million) say they need more life insurance.
Among households with children under age 18, arguably those with the greatest need for life insurance, 11 million have no life insurance coverage.

Many families find life insurance a difficult subject to discuss, so they avoid it. Perhaps discussing the possibility of a spouse’s unexpected death is uncomfortable, but talking about life insurance is critical to the whole family. Here are some tips that may help you start the discussion and keep it on track: 

* Talk before you’re in a financial crisis — Pick a time when you are both relaxed and keep it positive. Try to discuss it as you would any other family issue or aspect of your financial planning.

*  Make a plan or revise your existing plan — Incorporate life insurance into your overall financial strategy — in fact, you may want to consider making it a primary component.

*  Set a monthly budget — Determine what you can afford and call me. I can work with you so you can determine a realistic strategy that you can stick to.

Although the subject may be difficult or awkward, talking about life insurance may be one of the most important discussions to have. And call me to learn more about the life insurance options that may help protect your family’s future.

Life insurance issued by Farmers New World Life Insurance Company, Mercer Island, WA 98040

end of article

Always make sure your auto, fire (home, condo, & renters), earthquake, flood, umbrella, and life insurances all properly work together to protect your home, your business, your future.

Understanding Auto Insurance: Mom, The Chauffeur

“Mom, the shuttle bus driver.” Does that sound like you or someone you know? It may not be your “full-time job,” but if you have young children at home you probably take your turn at shuttling kids to and from after-school or weekend activities. You probably don’t even think about your auto insurance in this context but maybe you should — transporting kids (your own and others) comes with certain risks that could affect your insurance.

• Who’s responsible in an accident? — Drivers can be legally liable for passengers’ injuries — and most personal auto policies will extend coverage for injuries to passengers when you’re driving your own car.
• What’s typically covered? — Although most auto policies will cover your actions in a car that isn’t yours, many contain restrictions on the size and type of vehicle involved. So if you plan to rent or borrow a larger vehicle — such as a van to take the soccer team to an out-of-town match — call me so you can be sure you have the coverage you want.
• What if you’re driving someone else’s vehicle? — It may depend on the situation. Your personal auto insurance policies might not cover your legal liability if you cause an accident while you’re driving your employer’s or your neighbor’s vehicle (particularly if your neighbor’s car is available for your regular use). Teachers and coaches should use school district vehicles to transport students and players to and from events, rather than their personal vehicles. Finally, even if you are covered, if you have an accident in which several passengers are involved, medical and other costs could easily exceed the limits typical of most personal auto policies.