Protecting your family, yourself, and your income is an essential component to the foundation of your financial planning program.
Life insurance can be used to replace your lost income, fund your children’s education, and pay off debts and estate taxes. Proceeds are generally income tax-free, and if the policy ownership is properly structured, can be free from estate taxes as well.
Life insurance can also used as a way to protect your business from unexpected interruptions, to facilitate the transfer and succession of your business, and as a valuable benefit to attract and retain employees.
The basic types of life insurance are:
- Fixed premium term life insurance (where the annual cost is fixed for a period of time – 10, 20, 30 years), offers death benefit protection.
- Permanent life insurance (whole life, universal life) offers both death benefit protection, and has a cash value savings component that can be used during your life for goals such as supplemental retirement savings.
Long-term Disability Insurance
Disability income insurance can be used to replace a portion of your earnings if you are unable to work because of an extended illness or serious injury. It is critically important because it allows you to continue paying bills like your mortgage, children’s tuition, and food until you recover and can return to work.
Long-term Care Insurance
Long-term care (LTC) insurance provides the financial resources that can help cover the cost of long-term care expenses you may need later in life, or in the event of an illness or injury. It give you choices and control regarding where you receive care and the kind of care you receive. It is also used as a valuable asset protection tool.
Take the Next Step.
Contact us to discuss what kind of insurance may be most appropriate for your current circumstances. Eligibility and cost for these life, disability, and long-term care insurance depend on a wide range of factors, including age, gender, amount of insurance, health and medical underwriting results, and (for disability insurance) occupation. Actual results may vary from illustrated or projected underwriting class and costs.
Daniel D’Ordine, CFP® is a licensed insurance broker who holds the Life-Accident-Health Insurance license (NY, NJ, CT, RI, IL).
The Insurance (Risk Management) Review component of our comprehensive financial plans includes an assessment of life, disability, long-term care, health, homeowners/renters, auto, and liability insurance.