Insurance Plan Considerations

People tend to react in a negative way when the topic of insurance comes up because:

• Many of us view it as a necessary evil.
• Most people are totally mystified by it.
• Most of us just want to get only what we think is absolutely necessary as quickly and cheaply as possible.
• In many cases the insurance buyer seldom, if ever, hears from the agent.
• In certain types of insurance the premiums go up often (seldom down).
• The companies sometimes change names and payment addresses making it hard to keep up.
• Companies often send us wordy documents that only a lawyer can understand.

Unfortunately, many of the people we talk with have the wrong kinds and amounts of various insurance coverages. So they may have coverage they don't need. Some people even have overlapping coverages, meaning they pay for insurance they don't even need. The worst case is failing to have coverage you do need and finding out only when you have a substantial claim. Retirement planning for quality of life includes consideration of adequate insurance coverage.

Since we hate to even think about the possible events that require insurance, we have a great tendency to ignore it once it is in place. Considering the fact that many people spend a fair amount of money each year on their various insurance coverages, we believe a periodic evaluation can be very valuable.

Risk management is the term used in the business world. It's the process used by professionals to determine how various levels of risk will be covered. Insurance is only one of those options. We believe that individuals should view risk management in the same way. That means they have considered how each significant risk might be covered and whether or not insurance is the appropriate way to cover it.

• Loss of income from death of a breadwinner or pension recipient.
• Loss of income through disability or incapacity.
• Cost of family health care.
• Extreme cost of long term care.
• Potential loss of property through natural disaster, fire or theft.
• Potential loss of capital through personal liability or lawsuit.
• Loss of capital from estate taxes and expenses.

We would be happy to meet with you to help you conduct your own risk management and insurance review at no cost or obligation.