At Plan 4, we have one mission: to assist you in achieving your financial goals.  Our diverse team of advisors believes that an educated client is an empowered client, and through a commitment to honest and forthcoming dialogue and evaluation, we enable you to take control of your financial future.  As the circumstances of your life change, so do your specific financial goals and requirements.  It is important to regularly review your life insurance needs and ensure that your current coverage is still the best fit for you.

Life insurance is an agreement between an insurance provider and you, the insured, that, in exchange for a monthly payment, the insurer will pay out a sum of money to your designated loved ones, or beneficiaries, upon your death. The amount that is paid is agreed in advance and will affect the policy’s premium, or cost.

Life insurance is an integral part of a well-considered financial plan and can serve many purposes. At its most basic, we purchase life insurance so that our loved ones are more financially secure after we pass on, specifically those who are dependent upon us financially. The proceeds of life insurance can replace lost income or cover things such as funeral or burial expenses, residual debt, and any other expenses that may arise. A key benefit of life insurance is the peace of mind from knowing that your survivors will be financially stable and will have time to grieve without bills looming over them.

Another use of life insurance is as an estate planning tool. Under current tax law, life insurance proceeds pass to beneficiaries free of taxes. This infusion of cash can be beneficial to a comprehensive estate plan.

Call our financial advisors today to discover the ways that life insurance can help you and your loved ones.

There are a few key terms you should understand when purchasing life insurance. First, the insurance policy is a contract between you, the insured, and the insurance company, or insurance provider. The policyholder is the owner of the policy. The death benefit is the money that will be disbursed after the insured’s passing. Premiums are the periodic payments that are made to keep the policy active, or in force, and ensure that the death benefit remains in effect.  Premiums can be paid monthly, annually, or on any other periodic basis agreed between the policyholder and the insurance provider. Beneficiaries are those who will receive the death benefit. These can be individuals such as a spouse, child or children, or any other person for whom the policy owner would like to provide after the death of the insured.

There are two basic types of life insurance: term life insurance and permanent life insurance. Term life insurance provides coverage for a set amount of time. If you pass away during time period set in the policy, your beneficiaries will be paid the death benefit of your policy. Permanent life insurance lasts for your whole life.  Permanent insurance can take many forms including universal life, and variable life.

Call one of our financial advisors to learn more about life insurance and the many ways it can protect your loved ones. 

The purpose of a life insurance policy review is to determine the adequacy and cost effectiveness of current life insurance coverage. We look at the types of life insurance in place and examine the state of each policy. Considerations include levels of coverage and associated costs. Key is determining whether current levels of coverage are enough to cover projected expenses should you pass.

Life insurance should be periodically reviewed for a variety of reasons. Our financial advisors can help you determine the adequacy and appropriateness of your life insurance. We advise that you regularly review changes to your goals and objectives, health, and lifestyle. In addition, it is important to evaluate whether your coverage is competitively priced, how the amount of coverage is aligned with the current phase of your life, if your beneficiary designations accurately reflect your wishes, and if your life insurance is performing as originally envisioned.

It is a best practice to review your life insurance policy annually. Life today is busy and rapidly changing, but this is the very reason we should make it a priority to schedule a review of our life insurance policies. Your financial advisor will consider your individual needs and help you to decide how often you should complete a life insurance policy review. Life insurance should grow with you; as your life changes and your needs and responsibilities grow or decline, your life insurance plan should be reviewed and adjusted. Getting married or divorced, starting a new career or business, having children, buying a home or making other large purchases, taking on more debt, and aging are all part of living. To maintain financial strength, it is important to ensure that your policy is reflective of your lifestyle.

If you don’t have life insurance, talk to one of our trusted financial advisors today. If you are already insured, let’s get started today on scheduling a review of your current life insurance policies and make sure that your life insurance plan is working for you. It’s a best practice to review your life insurance policies annually. Don’t wait! Life happens. Let Plan 4, Inc. help you develop a financial plan for your life so that you can stay busy living it!