William Penn Life, 2016 (51. évfolyam, 1-12. szám)
2016-01-01 / 1. szám
Moneywise with Bob Bisceglia, National Sales Director What’s your life insurance HAPPY NEW YEAR! I'd like to begin the year by discussing some basic information about life insurance. Recently, the Life Insurance Marketing Research Association (commonly referred to as LIMRA) conducted a "life insurance IQ test" to gauge the average American's knowledge and basic understanding of life insurance. Of the 4,000 people tested, less than one third (about 1,200) answered at least seven of the 10 questions correctly, while the majority (about 55 percent) answered fewer than five questions correctly. In addition to identifying the aspects of life insurance that consumers understand well and those that left them "in the dark," the study also shed light on a few widespread misconceptions. Jennifer Douglas, LIMRA Associate Director of Research, stated that "with life insurance ownership at an all-time low, it's important that the industry address any misinformation that is out there confusing the public and possibly having a negative impact on the insurance industry." LIMRA researchers cited a number of factors that were associated with higher life insurance IQ. Those scoring higher on the test either owned life insurance, had a financial planner or expressed a higher degree of confidence in the industry. Less than one percent of those surveyed answered all 10 questions correctly. So, what does this study mean for our industry and our Association? "One of the top reasons given by consumers about why they don't buy life insurance," noted Douglas, was "it's too confusing." The study also shows that consumers with a better understanding of life insurance have a higher confidence level in insurance companies in general. This information helps companies and associations like WPA understand the factors that contribute to a better understanding of life insurance, helping them to take the right steps to increase Americans' overall comfort level with the industry and our products. Take the quiz yourself and compare your knowledge to that of your fellow Americans. While the answers appear at the end of this column, I ask you not to look before anwering all 10 questions. TRUE OR FALSE? 1) Beneficiaries do not have to pay taxes on the death benefit from a life insurance policy. T/F 2) The primary reason life insurance companies collect medical information is to have documentation of pre-existing conditions when a claim is submitted. T/F 3) Life insurance basically involves paying money to an insurance company each year so the company can invest the money and pay your heirs when you die. T/F 4) A group life insurance policy provided by your employer will stay in effect if you leave your job. T/F 5) If a life insurance company goes bankrupt, the policies are canceled and the policy owners lose their benefits. T/F 6) In a variable or universal life policy, the policyholder bears more risk in the policy. T/F PERMANENT OR TERM? Please select whether these statements describe permanent (P) or term (T) life insurance: 7) This type of policy initially has a higher premium for the same amount of coverage. P/T 8) This type of coverage is appropriate when you have a specific need for life insurance that will go away. P/T 9) This type of policy accumulates a cash value that you can borrow against. P/T 10) If kept indefinitely, the premium for this type of policy would eventually increase. P/T Okay, check your answers. How did you do? Don't be too alarmed if you didn't pass—you're in the majority. Remember, we're here to help you through the maze of confusion that surrounds life insurance and to help you make the right decisions on your coverage. Now is the perfect time to call on your WPA representative to have your insurance reviewed and to make sure it is doing what you want it to do—now and in the future. Don't have an agent? Give us a call and we'll have one assigned to you. '(%l£) uixdi-oi !(%£p) iwumuxdj-6 t(%Z9) uudi-2 !(%if) imumiudj-i '.(%££) anx^-g !(%&) as/ty-p ■(%6S) 3S/A-Í-F -(%89) 3mi-£ :(%8l) ssjuj-z f%l£) anx±-i Aposxxoo Suuacnsuv sxamnsuoo fo dSv^uaoxdd puv sxacnsuy 4 0 January 2016 0 William Penn Life
