January 13, 2022
A Heartbreaking But Powerful Lesson
The life insurance industry paid beneficiaries $90 billion in 2020, a record amount that was 15% more than death benefit payments in 2019, according to the life insurance trade association.
That record $90 billion is a heartbreaking result of the death toll wrought by the pandemic.
And that $90 billion is also a vivid reminder of the importance of life insurance. The loved ones of so many who died were, in their mourning, given the gift of some financial protection by the deceased.
Have you pre-planned to give your loved one's financial protection?
Everyone who died of Covid in 2020 and had life insurance, bought that insurance long before the virus even existed. Like all of us, they had no exact insight into their fate. But yet they bought life insurance out of respect and acceptance of the fact that they had no control of their fate. Life insurance was the one act they could take to protect their loved ones if they were to die from some unforeseen illness or accident.
So, my question for each of you is whether you have carefully assessed your life insurance needs. If there is anyone who is dependent on you for any form of support, be it financial or caregiving, there needs to be a life insurance policy on your life.
It really is quite simple: If tragedy strikes and you were to die next month, would you leave anyone in the lurch financially?
If you answered yes, I sure hope you have term life insurance. If not, you can shop for term life online through sites such as SelectQuote, Accuquote and Policygenius.
And for those of you who have term life insurance, I want you to review if you have enough coverage. I recommend having term insurance that will deliver a death benefit equal to at least 20x the annual income your loved ones will need if you were to pass. I know that sounds like a lot, but term insurance is very inexpensive, and by having a large death benefit you will help your loved ones, as they will likely be able to generate the income they need each year without needing to make risky investments with the money, nor depleting the principal.
I promise you that if you take care of this now, you will feel so relieved that you have done everything in your control to care for your loved ones.
Credit & Debt, Saving, Investing, Retirement