By Warren S. Herscht
With Life Insurance Awareness Month now underway, advisors can look forward to an advertising and marketing blitz from the industry’s behemoths. The aim: to promote protection products to the nation’s uninformed, befuddled, uninsured and underinsured consumers.
The product manufacturers have their work cut out. According to a new survey, few Americans look to life insurance to fund living expenses beyond replacing income of a departed breadwinner or funding funeral expenses. And 43 percent believe the product to be too costly.
So reports Northwestern Mutual in its annual “2015 Planning & Progress study,” an online survey of 2,010 U.S. adults conducted in January. The research explores Americans’ attitudes and behaviors toward money, goal-setting and financial priorities.
The report shows that more than half of adults (51 percent) own life insurance. The other 49 percent of the adult population cite a host of reasons for not owning life insurance. Among them:
- 43 percent say that life insurance is too expensive.
- 31 percent say that coverage is a low priority compared to other expenses.
- 14 percent say they never thought about life insurance and don’t know much about it.
- 12 percent don’t know where to start.
- 8 percent note they don’t have time to research/learn about/explore their options.
- 6 percent say that life insurance is too complicated.
- 5 percent say the product is too stressful.
Among respondents who say they don’t know much about life insurance or haven’t given the product a moment’s thought, millennials are most numerous at 28 percent. Smaller percentages of Gen Xers (16 percent), boomers (6 percent) and older seniors or “matures” (8 percent) also fall into this category.
Given the lack of knowledge about life insurance, it’s understandable that most respondents believe life insurance is used for paying funeral expenses (68 percent) and providing income for survivors (59 percent). But few cite the product’s other living benefits. Examples:
- Paying mortgages and debts (23 percent)
- Paying estate taxes (15 percent)
- Creating an estate (12 percent)
- Providing a cash flow in retirement (8 percent)
- Equalizing an inheritance (7 percent)
- Paying for college (5 percent)
- Taking out a loan/borrowing against (5 percent)
- Funding charitable contributions (4 percent)
“At a time when so many Americans are wrestling with how to achieve long-term financial security, people are overlooking one of the most critical tools to meet that goal,” says David Simbro, senior vice president of Life and Annuity Product, Northwestern Mutual. “Unfortunately, too many people lack a full understanding of all the ways permanent life insurance can be used to provide financial security. They see it as a single utility product, when it’s really more like a Swiss Army knife — it can be used for an amazingly diverse range of needs.”
Are you interested in learning more about how Life Insurance could be the perfect product for your portfolio to help you reach your goals? If so, please consider attending one of our upcoming seminars!
Our Fiduciaries’ qualifications include a Certified Estate Planner, a Published Author and have been Nationally Interviewed on CNBC’s Squawk on the Street, Yahoo! Finance, Kiplinger’s and Fox Business Daily News, and appeared on Fox 35 “Money Watch” over 30 times. Senior Financial Security, Inc.has served our clientele here over 30 years.
The big picture here is that the laws for Inherited IRAs and retirement plans are changing in a way that will devastate the IRAs, retirement plans, and even Roth IRAs of Retirees. Steps can be taken to reduce the damage. This is a seminar for Retirees or Near-Retirees who have significant IRA/401k accounts, Roth IRAs and any other type of Retirement Account. The Devastating Consequences of owning a Revocable Living Trust* and the combination of a Trust and an IRA will be covered as well.
The TIME TO ACT IS NOW.
This is a MUST seminar for Retirees and Near-Retirees who have previously planned to live on their IRAs and Retirement accounts and for anyone who owns a Revocable Living Trust or is thinking of purchasing one.
- How to read a trust (and not get list in the legal swamp)
- Trusts hit the HIGHEST tax bracket of 37% with over $15,200 in income upon your passing. Your children would have to earn $500,000 to be in the same bracket! If you didn’t know that, come find out why! Many changes regarding trusts due to SECURE Act!**
- Trusts have Power Over Wills, that can cause probate, and because of SECURE ACT, can INCREASE taxes for your heirs and can cause INCREASED liability for YOU and your heirs.
- Hopefully you don’t own an IRA and a Living Trust?? We cover the IRS Publication that addresses the risks inherent with this flawed and over-used strategy by Advisors who are un-informed and ill-informed.
- Have you been told you’re ‘too old’ for a Roth? Come learn all the rules from an expert!
- Let our 33+ years of experience and location in The Villages community educate you!
LOCATION
PS: The last workshop was full. It could change your life! (Note:Lawyers, Brokers, CPA’s or Advisors may NOT attend as space is needed for retirees.) |
The presenter, speaker and sponsor of this information is a licensed, independent Insurance agent. The presenter, speaker and sponsor of this information (Invitation) as well as the information presented at the seminar is not related to, endorsed by, nor connected with and not approved by any Government agency or organization. Although the seminar is providing information of value for consumers, the seminar is a solicitation for Insurance products such as Medicare supplements, Long Term Care Insurance, Life Insurance, & Annuities.
** Based on 2024 figures
Our Fiduciaries’ qualifications include a Certified Estate Planner, a Published Author and have been Nationally Interviewed on CNBC’s Squawk on the Street, Yahoo! Finance, Kiplinger’s and Fox Business Daily News, and appeared on Fox 35 “Money Watch” over 30 times. Senior Financial Security, Inc.has served our clientele here over 30 years.
The big picture here is that the laws for Inherited IRAs and retirement plans are changing in a way that will devastate the IRAs, retirement plans, and even Roth IRAs of Retirees. Steps can be taken to reduce the damage. This is a seminar for Retirees or Near-Retirees who have significant IRA/401k accounts, Roth IRAs and any other type of Retirement Account. The Devastating Consequences of owning a Revocable Living Trust* and the combination of a Trust and an IRA will be covered as well.
The TIME TO ACT IS NOW.
This is a MUST seminar for Retirees and Near-Retirees who have previously planned to live on their IRAs and Retirement accounts and for anyone who owns a Revocable Living Trust or is thinking of purchasing one.
- How to read a trust (and not get list in the legal swamp)
- Trusts hit the HIGHEST tax bracket of 37% with over $15,200 in income upon your passing. Your children would have to earn $500,000 to be in the same bracket! If you didn’t know that, come find out why! Many changes regarding trusts due to SECURE Act!**
- Trusts have Power Over Wills, that can cause probate, and because of SECURE ACT, can INCREASE taxes for your heirs and can cause INCREASED liability for YOU and your heirs.
- Hopefully you don’t own an IRA and a Living Trust?? We cover the IRS Publication that addresses the risks inherent with this flawed and over-used strategy by Advisors who are un-informed and ill-informed.
- Have you been told you’re ‘too old’ for a Roth? Come learn all the rules from an expert!
- Let our 33+ years of experience and location in The Villages community educate you!
LOCATION
PS: The last workshop was full. It could change your life! (Note:Lawyers, Brokers, CPA’s or Advisors may NOT attend as space is needed for retirees.) |
The presenter, speaker and sponsor of this information is a licensed, independent Insurance agent. The presenter, speaker and sponsor of this information (Invitation) as well as the information presented at the seminar is not related to, endorsed by, nor connected with and not approved by any Government agency or organization. Although the seminar is providing information of value for consumers, the seminar is a solicitation for Insurance products such as Medicare supplements, Long Term Care Insurance, Life Insurance, & Annuities.
** Based on 2024 figures
