William Penn Life, 1999 (34. évfolyam, 2-12. szám)
1999-09-01 / 9. szám
WPA Q« I have read that I • should reevaluate my life insurance program every five years. Why should I do that when I have plenty of life insurance already? A# Think about all the things • that have changed, or will change, in your life. Now, think about how those changes have affected (or will affect) your financial situation. The life insurance coverage you had five years ago may have been appropriate for your financial situation five years ago, but does it fit your current financial situation? And, will the life insurance you own now meet your needs five years from now? There are so many “life changes" that can affect your life insurance needs, including (but not limited to): • Getting married • Having a baby • Buying a new home • Having another baby • Sending your children to a private school • Sending your children to college • Starting your own business • Watching your children leave home • Getting divorced • Getting married (again) • Selling your home All of these events change your life insurance needs, and they happen at various stages of your life. Your WPA representative can help you monitor your life insurance needs as your life changes. He or she can help make sure that you have just the right amount of life insurance to fit your needs. 5 things to remember when purchasing a life insurance policy By Bill Baker, J.D. President, WM. Baker Associates WITH ALL OF THE LIFE insurance plans available, choosing a life insurance program that is right for you and your family can be a frustrating and confusing experience. Your life insurance plan should be structured to expand and contract in response to your unique and changing circumstances. Too much life insurance coverage is a waste of money. Too little life insurance coverage can create a financial disaster for your family. Here are five things that you should pay attention to when you shop for life insurance. 1 Determine how much life insurance you need. You can either do this yourself or by obtaining the assistance of an insurance professional or financial planner who has an in depth knowledge of life insurance. There are also several excellent self-help books and software programs that can help you determine your life insurance needs. Decide what type of life insurance policy you want: term, whole life, universal life, etc., or a combination of these types of coverage. 3 Get the best price from the best company. The best price that you can get for a particular type and amount of life insurance is mostly dependent upon your age, sex and medical condition. Get quotes from three or more companies. Today, many life insurance agents have contracts with more than one life insurance company and can give you comparative quotes. Also, make sure you receive independent rating information about the financial condition of the company issuing the policy. Insurance companies are rated by services life A.M. Best Company, Moody's Investors Service and Duff & Phelps. 4 Once you decide to buy a life insurance policy be careful when the agent fills out the life insurance application. Make sure that it is answered fully and accurately. After the agent has completed the application, read it carefully before you sign it and make sure you get a copy. Don't sign any life insurance application that has not been completely filled in and dated. 5 Once you receive the insurance policy document, immediately study it and make sure the policy is exactly what you ordered. Make sure you are receiving the same amount of life insurance you purchased, with the same terms and for the same price agreed upon. If you are not satisfied with the life insurance policy, and are still within the 20 day or so "right of examination" period that allows you to return the policy and get a full refund, return it. Whether you are considering the purchase of additional life insurance or your first policy, take the time to shop around and compare before you purchase. |WPLl ..................... ’■«.............................A11'..........^ Money Links The place to start inquiring about your life insurance needs is your local WPA representative, ff you don’t know who your nearest WPA representative is or how to contact him, call our Home Office toll-free at 1-800-848-7366, and we’ll tell you. O WM. Baker Associates’ Life Insurance Home Pope is located on the internet at www.w-b-a.com/lifeins.html 4 William Penn Life, September 1999
