Seven Wonders of Life Insurance

Seven Wonders of Life Insurance

Your clients can address their financial problems with these seven life insurance solutions.

Here are some disturbing facts from LIMRA about U.S. life insurance ownership and the attitudes of consumers toward our products.

7 Life Insurance Facts

1. LIMRA’s 2010 Life Insurance Ownership Study found that 30% of U.S. households (35 million) have no life insurance protection.
2. In 2009, insurance companies issued 9.4 million individual life insurance policies in the U.S.—about one million fewer policies than they did in 2004.
3. About seven in ten middle-market households agree that life insurance is the best way to protect against the premature death of a primary wage earner.
4. The two top reasons Americans have life insurance are to cover burial and final expenses and to help replace the income of primary wage earners.
5. One in four households plans to buy life insurance for themselves or another household member in the next 12 months, but many are unlikely to follow through with their plans.
6. Twenty-four percent of households with children who are under the age of 18 want to speak with a financial professional about their life insurance needs, but they may not proactively initiate contact with an insurance producer or with a life insurance company.
7. About one in four middle-market households (those with yearly incomes of $35,000 to $99,999) admit they don’t know how to obtain or reach their financial goals. But only 18 percent of them want to speak with a financial professional about life insurance.

These are the problems that we face.  Here are the seven solutions:

1. Life insurance buys time: it allows loved ones to focus on their grief by helping to pay for the funeral and other costs.
2. It provides a fresh start: it lets loved ones start with a clean slate by helping to pay off credit card bills, outstanding loans, and even the mortgage.
3. It generates income: it helps replace lost income for years to come so that surviving family members can continue to pay for life’s necessities.
4. It offers flexibility: it gives a surviving spouse the chance to take time off from work or switch to a job that offers a more flexible work schedule.
5. It creates opportunities: it can provide funding to start a business, or pay for schooling so that surviving family members can train for new careers.
6. It funds the future: it offers a way to fund longer-range goals like a college education for the kids or a secure retirement for a surviving spouse.
7. It leaves a legacy: it gives parents the change to leave future generations with the legacy of long-term financial security.

Taking the first step

Problems and solutions go hand in hand, but if we want to use these solutions to help our clients and prospects, we must first start with digital marketing.  This means taking your digit and using it to push the buttons on the telephone, because everything starts with a call to a prospect.

September is Life Insurance Awareness Month.  Use the resources from the LIFE Foundation to reach out to your clients and prospects to educate and motivate them in their life insurance buying decisions.  Go to LIFE’s website at www.lifehappens.org to learn what is available to you and your clients.

-article by Marvin Feldman, CLU, ChFC, RFC

-article taken from NAIFA’s  Advisor Today July/August 2011 publication

Tom Newsad and Elaine Dominy of Newsad Insurance Services offer life, health, disability, and long term care insurance and equity indexed annuities to the Trenton, Oxford, Middletown, Monroe, Liberty, West Chester, Miamisburg, and Centerville areas and beyond

Insure Your Love

Insure Your Love

Many people work to create a legacy of love by protecting and providing for our families, businesses, or favorite charities.  People usually choose to buy life insurance because they “love” someone or want to protect someone that they love financially.  Other products that can be used in this spectrum of financial services are annuities, which are also sold by life insurance companies.  An annuity is a flexible retirement planning tool that allows your retirement savings to grow on an income tax-deferred basis option that best meets your needs for income when you retire.  Many people choose to purchase annuities because an annuity allows savings to grow without any current tax, since earnings on an annuity are not taxed until payout begins.  Many others say they like annuities because an annuity provides a steady stream of income they cannot outlive.

At Newsad Insurance Services, we believe in custom tailoring life insurance products around the needs of our clients.  Tom Newsad believes in “customer relationships built on knowledge, trust, service, and love”.  Not until one sits down with one’s clients and listens to their concerns can one help them fill their needs.  As Tom believes, “your clients look at you and see what they want to see…their hope!”

Tom Newsad has been selling financial services products including life insurance and equity indexed annuities for over 20 years.  Newsad Insurance Services provides service to the Dayton, Middletown, Franklin, Hamilton, and Oxford areas and beyond.

Avoiding Gaps in Life Insurance Coverage

Avoiding Gaps in Life Insurance Coverage

In a recent meeting with a client it was discussed that most people are not aware of what happens to their life insurance benefits when they retire. Most group term policies, which are generally low cost term life insurance protection, simply end when employment ends. In some cases you may “convert” your existing insurance into a permanent style policy. If this is not an option, the coverage ends leaving a gap in life insurance protection.

You should always consult with a life insurance agent for help reviewing the insurance jargon in your group policy. In some group policy cases term benefits decrease in face amount, declining vastly after age 70. Some larger companies have even eliminated coverage for spouses’ life insurance policies. For these reasons it is very important to review your life insurance and retirement plan with a financial advisor, especially when you decide to retire or separate from employment. Purchasing an individual life insurance policy can give you peace of mind and fill in gaps left by your group insurance policy.

At Newsad Insurance Services we believe in knowledge, trust, and service for each of my clients to ensure that each client is prepared for the present and the future.

Tom Newsad and Elaine Dominy of Newsad Insurance Services serve Middletown, Monroe, Franklin, Trenton, Oxford, Dayton, and surrounding areas.

Retirement

            January 1, 2011 marked the day the first Baby Boomer turned 65.  The reality of working longer has set in for many Boomers as life expectancy continues to increase.  Determining the best retirement age has proven to be both a priority and a challenge around the world.  For example, the French Parliament rose the retirement age from 60 to 62 in an effort to enhance their nation’s economy despite weeks of rioting by French citizens and reforms in Spain.  Under the approved reform bill, the retirement age in France will be raised to 62 by 2018, and the age of full pension eligibility will be raised from 65 to 67.  Britain plans to increase the pension age to 65 for both men and women in 2020.

            However, turning 65 does not necessarily mean retirement for you.  My clients can hear and read about retirement changes through the media and should be able to rely on their trusted financial advisor to provide guidance when making important retirement decisions.

            Three areas Boomers should evaluate are:

·         The “lifestyle” they want to maintain during retirement

·         The “life income” they will have available to support their lifestyle

·         The “life boats” they will need to sustain their lifestyle, should the unforeseen occur

At Newsad Insurance Services, we strive to build relationships based upon knowledge, trust, and service.  Tom Newsad sells fixed annuities in addition to life insurance and long term care insurance in Middletown, Trenton, Hamilton, Dayton, Monroe, Franklin, Carlisle, and surrounding areas.

Where to Turn for Help

Where to Turn for Help

About one in four middle-market households admit they do not know how to obtain or reach their financial goals, including buying life insurance.  One of the biggest obstacles is lack of information.  At Newsad Insurance Services, product education is vital to helping clients find the best product for their needs.  Almost eight in ten households do not have a personal life insurance agent or broker to turn to when making important financial decisions.  Most individual life insurance policies are sold by insurance agents, as sixty percent of baby boomers prefer to buy their policies from agents in a face-to-face meeting.  In newer trends, younger generations often gather information about life insurance from the internet and from their place of business.  Whether one buys from an agent, has coverage through an employer, or makes an online purchase, the most important thing is to make sure life insurance coverage is place to protect your needs and the needs of your loved ones.

-Article from 2010 LIMRA report

 http://www.limra.com/newscenter/newsarchive/archivedetails.aspx?prid=145

Newsad Insurance Services has over 20 years of life insurance experience.  Tom Newsad and Elaine Dominy serve Middletown, Franklin, Monroe, Hamilton, Trenton, South Dayton, and surrounding areas.

Save Money...Plan Ahead

Save Money…Plan Ahead

I was recently thinking about the amount of planning and preparation that people put into a vacation or a wedding or purchasing a car or a home in order to make sure that they are getting what they want at an affordable price. Yet, many people do not make any plans for one of the most expensive purchases that they will ever make…their funeral and final expenses. Unless you plan in advance and shop around you are most likely going to have to pay top dollar. The average funeral in the United States costs about $6,500 according to the National Funeral Directors Association. Although the cost of final expenses can vary from state to state, the total sum can easily reach $10,000 according to the AARP.

3 Major topics need to be discussed when considering funeral and final expense funding:

           

1.)    Plan ahead

Talk about your plans with your family members. Be sure to discuss your wishes and find out what is important to them as well

2.)    Know your rights

The Federal Trade Commission (FTC) Funeral Rule requires that mortuaries present a price list of services, like a shoppers’ guide, to consumers before their death

3.)    Shop around

Make sure that you are not spending too much money. It is a good idea to purchase life insurance to fund this important expense

While families should make decisions about funeral arrangements in advance, they should NOT pay for them in advance. Over time prices may go up and businesses may close or change ownership or a person could change their mind about their desired arrangements.

People who favor a traditional funeral and burial can save hundreds or even thousands of dollars by taking these simple steps. Many people say that they have found great meaning and peace in being able to carry out thoughtful funeral plans that honored their family members in an appropriate and affordable way. Purchasing life insurance is a great way to make sure that you will have the funds to cover your funeral and final expense plans. Be sure to meet with your financial representative to discuss this and all of your important financial needs.

-Tom Newsad

Tom Newsad and Elaine Dominy from Newsad Insurance Services can meet with you. Tom and Elaine serve Middletown, Franklin, Trenton, Monroe, Liberty Township, Hamilton, Dayton, and Oxford.

Reaching Retirement Age

Reaching Retirement Age

It is a good idea to review your portfolio with your financial services provider more frequently as you reach retirement age.  Being sure not to draw out more than 6-8% per year in retirement savings can be beneficial in preventing you from spending down your account too quickly.  You may also want to consider moving your risky investments to more secure or fixed investments.  This could help prevent you from losing money in market downturns.  It is also important to have adequate life insurance to offset any losses in your portfolio and to provide your spouse with lost income.


Tom Newsad is a life insurance and financial services provider serving Butler, Warren, Hamilton, and Montgomery counties in Ohio.