Life Insurance -Disability Income Insurance- Critical Illness Insurance

How can I afford all of the coverage I know my family needs . . . ?

Lets answer this question. We’ve addressed life insurance plans in other emails, and there is a lot of information on our life plans available to you at our website. You can even get a Life Insurance quote or Disability quote, AT OUR WEBSITE. (Hospital plans too! So, do a little shopping, yourself at our website!)

Today, we are providing information on Critical Illness and Disability Income Insurance coverage. While they may seem similar, there are many differences in the two forms of coverage. Disability insurance has many guidelines about their payouts that may cause you to be ineligible for a payout even if you are deemed disabled. Critical illness insurance has its own guidelines which are much less stringent and can be used toward many health problems, even those that would cause you to be disabled. The facts will be laid out here for you to learn about these two insurance types and allow you to make a well-informed decision about you and your family’s future and welfare.

Disability insurance is an insurance policy that should protect you in case you become disabled. The claimed disability cannot result from a pre-existing chronic illness. Some policies cover disability that occurs due to an injury at work as well as anywhere else, while some policies only cover one or the other. Depending on the policy, the payout may be held for up to a year to keep the cost of the premium low. This means that if you are disabled for a span of time shorter than the time you’d have to wait for a payout, you will not receive any benefit for that claim. If the incident that causes the disability can be covered by another type of insurance policy that you have, you may only receive coverage for the costs that the other insurance type will not cover. Many times, only a percentage of your income will be provided to you in a qualifying claim. Disability coverage does not cover you indefinitely, either—there is a cap. In addition, some policies only cover complete disability. In the end, it boils down to an old saying, “buyer beware.” Really, we don’t mean that, but this is a line of coverage that you MUST fully understand as its history, frankly, has had its problems. The best thing we can tell you, when shopping for DISABILITY INCOME PLANS, if it sounds TOO GOOD TO BE TRUE….it is… let us help you and guide you through this. This is an area where EXPERT ADVICE is critical.

Critical illness disability insurance covers health problems medical experts define as critical such as cancer, stroke, and Alzheimer’s disease. Some of the issues critical illness insurance covers result in disability. It does not matter where or how you happened upon the critical illness as long as you are diagnosed as critically ill. Sometimes critical illness coverage requires you to survive a certain number of days, usually about one month. The required survival time is shorter than most disability insurance companies require. You would receive a payout regardless of any other insurance payouts you may receive from other types of policies you hold. There is no cap for coverage with critical illness insurance as you are paid in a lump sum. This form of coverage, these days, with the advent of advertising giant AFLAC, has become extremely popular due to the relative ease of benefit payments to clients. Plus, the costs are much more affordable that traditional Disability Plans. Still, it may or may not be right for you. We should discuss family history, etc., to help determine which plan makes the most sense.

Both forms of insurance have overlapping properties and similarities. They have some very important differences as well. Disability insurance is full of potholes and may not payout when you need it most. Critical illness disability insurance can protect you in many cases of disability and the plans are much simpler to navigate. You won’t have to worry about caps, other types of insurance policies you hold, or and how much you receive is from your lump sum is up to you—no percentages. It is wise to choose critical illness insurance, even if just to complement your disability insurance. Choose to provide protection where disability insurance alone cannot.

There is some good, very good news here…At Complete Insurance Service, we are one of the VERY FEW agencies that can provide all three types of insurance on ONE POLICY, if needed. Being able to secure these coverage’s on one policy contract give you, the customer, a huge price advantage due to economies of scale.

If you’ve wondered “what it would cost”…stop wondering. Call us. We can determine a plan for you, with just a few questions. Then, we will help you with a plan that will accomplish your goal, at a price you can afford. Don’t wait. You are going to feel a tremendous burden lifted from your shoulders when you get this done.

Your friends and agents at Complete Insurance Service

AUTO AND HOME INSURANCE RATES INCREASING. WHY?




Recent data from the U.S. Bureau of Labor Statistics show that auto insurance premiums were 4% higher in February and March of 2011 than they were a year prior.

The Insurance Information Institute, an industry trade group, now expects the average annual premium will reach $975 this year, up from $958 in 2011.

Why is auto insurance getting more expensive? Lots of reasons…here are some…

Commercial credit is more expensive, making it more costly for insurance companies to borrow money and manage their cash flow.

In addition, even though the frequency of auto insurance claims is going down, the dollar cost of each claim is going up.

That's because more complex, high-tech car parts are more expensive to replace. There are several ways to soften the blow:

• Look for discounts for insuring multiple cars or insuring your home and car with the same provider. Like we’ve told you, BUNDLE and save!

• Make sure you're receiving all of the good-driver and accident-free discounts you can. At renewal time, don’t call other carriers. Call US. If you are unhappy with your renewal plan, or want to double check with us on vehicle uses, good student credits and any other rate credit you think you might be due, CALL US! We already represent all of the very best carriers. We can do the SHOPPING for you.

• If you recently took a job closer to home, or began taking the bus or train to work, update your policy to reflect that you're driving fewer miles.

• Increase your collision and comprehensive deductibles. Just make sure you can shoulder the additional costs if you have a claim.

• If you’ve been with your carrier a while, think TWICE about leaving. You’ve built up some PREMIUM CREDIBILITY with them and they are much less likely to DROP you should a driving record go south or if you have a claim. Tickets or accidents on a new policy will get you dropped like a HOT POTATO. Let us, your agent, assist you with any MOVING. We know how to get this done without it having a negative impact on you. Changing carriers every 6 months for a few dollars savings is…how do we put this delicately….? UNWISE! Don’t do it without a conversation with us first.

Home insurance premiums are going to rise EVERY YEAR. No way around it. GA is a rotten state for property insurance. Weather related claims, in the last 4 years, have devastated the GA home insurance market. And, we expect it to get WORSE! Homes have to be insured for their REPLACEMENT VALUE, not their MARKET VALUE. What you can SELL your home for has nothing to do with what you are REQUIRED, by your insurance policy, to insure it for. If you think the amount of insurance on your home needs to be discussed, CALL US! You ABSOLUTELY DO NOT want to change home insurance carriers without talking with us first. Carriers really DO NOT WANT property insurance in this state, and if you give them the slightest reason (house needs paint; roof over 10 years old; dogs; swimming pools;trampolines;housekeeping issues) if you change carriers and any of these issues exist, they will just terminate the insurance and they have the RIGHT TO DO THIS if done within 60 days of the new policy being issued. Work with us here. We want to help you.

Now, sometimes, carriers just get OUT OF LINE on their pricing…we know that. It happens. We don’t want to change people’s insurance plans around without a very good reason, but…sometimes we have to. If you think the plan you are in, needs review, call us. We represent over 50 major carriers. If we need to make some changes, we will discuss it and work on this with you TOGETHER. Let us help.

Your agents and friends at Complete Insurance Service

Valuable Belongings- Are they covered adequately?

“Homeowners” policies have limited coverage for lots of different kinds of items of personal property:

Homeowners Insurance

Protect Your Treasures with a Valuable Articles Endorsement or Floater

How much is your jewelry worth? Did you inherit fine silver or china from your grandmother? Has your photography hobby advanced to the purchase of an SLR camera? Perhaps you've spent years accumulating a fine wine or stamp collection?

Valuable Articles Insurance Coverage protects personal belongings of a high monetary value such as:

• Artworks, including etchings, paintings, pictures and other bona fide works of art (such as oriental rugs, statuary, rare books, manuscripts and bric-a-brac) or rarity, historical value or artistic merit.

• Antiques

• Cameras

• Coins (rare and current)

• Fine Jewelry

• Fine Silverware, China or Crystal

• Firearms

• Furs

• Golf Equipment

• Musical Instruments

• Personal Computers

• Stamps (rare and current)

• Wine Collections

• Other unique collections

*If you own something of value not listed above, it may still be eligible for coverage.

Your Existing Coverage May Not Be Adequate Protection

Chances are, your homeowners policy isn't nearly enough to replace your valuables if they are ever lost, stolen or damaged. Many valuable belongings exceed the standard limits of a homeowners policy. Some losses may not be covered at all, such as the loss of a stone from an engagement ring or an antique vase that is accidentally broken, or a flooded basement that damages your computer. In fact, most homeowners policies set dollar limits on the amount of protection offered to cover the theft of such items as jewelry or furs (usually only up to $1,000), firearms (up to $2,000), or silverware (up to $2,500).

Out Of Date Appraisals

Chances are, even if you have scheduled items sometime in the past, your appraisals are out of date and should be updated, with your carrier, every 3-5 years. If in doubt, update your appraisals, provide them to your carrier Customer Service Center and have your coverage updated as well. Don’t wait until it is too late to take care of this very important matter. Contact your carriers Customer Service Center, or us, today! Appraisals over 5 years old are INSUFFICIENT to adequately protect you!


Click HERE to get a Homeowners or Renters quote with a full coverage review!

Explaining Term Life Insurance

s the name implies, term insurance provides protection for a specific period of time and generally pays a benefit only if you die during the “term.” Term periods typically range from one year to 30 years, with 20 years being the most common term.


AdvantagesOne of the biggest advantages of term insurance is its lower initial cost in comparison to permanent insurance. Why is it cheaper when initially purchased? Because with term insurance, you’re generally just paying for the death benefit, the lump sum payment your beneficiaries will receive if you die during the term of the policy. With most permanent policies, your premiums help fund the death benefit and can accumulate cash value.



Term insurance is often a good choice for people in their family-formation years, especially if they’re on a tight budget, because it allows them to buy high levels of coverage when the need for protection is often greatest. Term insurance is also a good option for covering needs that will disappear in time. For instance, if paying for college is a major financial concern but you’re pretty sure that you won’t need life insurance coverage after the kids graduate, then it might make sense to buy a term policy that’ll get you through the college years. When the Term EndsBut what happens if you buy a term policy only to realize at the end of the term that you still have a need for life insurance? Well, it’s sort of a good news, bad news story. The good news is that many policies will give you the option to renew your policy when you reach the end of the term. The bad news is that you’ll probably face much higher costs since age is one of key factors used to determine life insurance premiums. To renew the policy, you also may have to present evidence of insurability (that’s insurance jargon meaning, “take another medical exam and answer a new round of questions about your lifestyle, health status and family health history”). If you’re still a fine specimen with healthy living habits, you might requalify at a reasonable rate. But if your health has deteriorated, you may find that it’s too expensive to renew your policy or you may not even requalify.



So if you’re considering a term policy, make sure you carefully consider how long you’ll need the coverage. If you’re pretty sure that your needs are temporary, then term insurance is probably the right choice for you. But if you think there’s a possibility that you might need the coverage for a long time, then remember that if you want to renew your term policy after it expires or buy a new term policy at that time, your age, health status or other factors may make coverage very expensive.



To better understand term insurance, consider this analogy. When you purchase term insurance, it’s sort of like renting a house. When you rent, you get the full and immediate use of the house and all that goes with it, but only for as long as you continue paying rent. As soon as your lease expires, you must leave. Even if you rented the house for 30 years, you have no “equity” or value that belongs to you. Return-of-Premium OptionOne exception to this rule is what’s called a return-of-premium term policy. With these policies, if you keep the policy in force for the entire term, say 20 years, the insurance company will refund the premium payments you made over that 20-year period. Of course, there is a price to be paid for this added benefit. The premiums for return-of-premium policies are considerably higher than premiums for standard term policies. The price difference can be 20%, 30% or more. Another factor to consider is that term insurance rates have dropped considerably over the past decade, mostly because people are living longer. If you own a standard term policy, there’s really no harm done in dropping that policy in favor of a newer and cheaper term policy. But if you own a return-of-premium policy, dropping the policy before the full term has expired means that you will have paid a high price for your term insurance coverage and the premiums you paid won’t be fully refunded. At best, you’ll get a partial refund of the money you put into your policy to that point. Key Policy ProvisionsWhen considering a term purchase, one thing to keep in mind is that not all term policies are the same. Some may include certain provisions as standard features, while others may require you to pay extra to add these features as “riders” to your policy. So if you’re comparing term policies, remember that price is not the only factor to consider. Ask your agent about provisions such as:

•Accelerated death benefits – allows a terminally ill person to collect a significant portion of his or her policy’s death benefit while that person is still alive

•Disability waiver of premium – waives premiums when a policy owner suffers a long-term disability, typically one lasting six months or longer

•Accidental death benefits – doubles or triples the benefit in the case of death by accidental means

ConvertibilityAnother provision that is very important is something called convertibility. Some insurance contracts only allow “conversion” in the first few years of the policy, while others allow it at any point during the term. This valuable feature allows you to convert your term policy to a permanent policy (e.g., whole life insurance) without submitting evidence of insurability. Being able to convert to a permanent policy is a great option to have in the event that circumstances in your life change such as failing health or maybe just the realization that coverage is needed for a longer period of time than you originally anticipated. That’s why when purchasing a term policy, it’s never a bad idea to find out what kind of permanent policies are offered by the company you are considering. Some companies may only have strong term insurance offerings, while others may have very competitive products in both categories.

Explaining Permanent Life Insurance

Permanent insurance provides lifelong protection, and the ability to accumulate cash value on a tax-deferred basis. Unlike term insurance, a permanent insurance policy will remain in force for as long as you continue to pay your premiums. Because these policies are designed and priced for you to keep over a long period of time, this may be the wrong type of insurance for you if you don’t have a long-term need for life insurance coverage.




Why would someone need coverage for an extended period of time? Because contrary to what a lot of people think, the need for life insurance often persists long after the kids have graduated college or the mortgage has been paid off. If you died the day after your youngest child graduated from college, your spouse would still be faced with daily living expenses. And what if your spouse outlives you by 10, 20 or even 30 years, which is certainly possible today. Would your financial plan, without life insurance, enable your spouse to maintain the lifestyle you worked so hard to achieve? And would you be able to pass on something to your children or grandchildren? Cash Value – A Key FeatureAnother key characteristic of permanent insurance is a feature known as cash value or cash-surrender value. In fact, permanent insurance is often referred to as cash-value insurance because these types of policies can build cash value over time, as well as provide a death benefit to your beneficiaries.



Cash values, which accumulate on a tax-deferred basis just like assets in most retirement and tuition savings plans, can be used in the future for any purpose you wish. If you like, you can borrow cash value for a down payment on a home, to help pay for your children’s education or to provide income for your retirement. When you borrow money from a permanent insurance policy, you’re using the policy’s cash value as collateral and the borrowing rates tend to be relatively low. And unlike loans from most financial institutions, the loan is not dependent on credit checks or other restrictions. You ultimately must repay any loan with interest or your beneficiaries will receive a reduced death benefit and cash-surrender value.



If you need or want to stop paying premiums, you can use the cash value to continue your current insurance protection for a specified time or to provide a lesser amount of death benefit protection covering you for your lifetime. If you decide to stop paying premiums and surrender your policy, the guaranteed policy values are yours. Just know that if you surrender your policy in the early years, there may be little or no cash value. Cash Value vs. Face AmountWith all types of permanent policies, the cash value of a policy is different from the policy’s face amount. The face amount is the money that will be paid at death or policy maturity (most permanent policies typically “mature” around age 100). Cash value is the amount available if you surrender a policy before its maturity or your death. Moreover, the cash value may be affected by your insurance company’s financial results or experience, which can be influenced by mortality rates, expenses, and investment earnings.



“Permanent insurance” is really a catchall phrase for a wide variety of life insurance products that contain the cash-value feature. Within this class of life insurance, there are a multitude of different products. Here we list the most common ones. Whole Life or Ordinary LifeIf you’re the kind of person who likes predictability over time, Whole Life insurance might be right for you. It provides you with the certainty of a guaranteed amount of death benefit and a guaranteed rate of return on your cash values. And you’ll have a level premium that is guaranteed to never increase for life.



Another valuable benefit of a participating Whole Life policy is the opportunity to earn dividends. While your policy’s guarantees provide you with a minimum death benefit and cash value, dividends give you the opportunity to receive an enhanced death benefit and cash value growth. Dividends are a way for the company to share part of its favorable results with policyholders. When you purchase a participating policy, it is expected that you will receive dividends after the second policy year – but they are not guaranteed. Dividends, if left in the policy, can provide an offset (and more) to the eroding effects of inflation on your coverage amount. Variable LifeVariable Life insurance is offered via a prospectus and provides death benefits and cash values that vary with the performance of a portfolio of underlying investment options. You can allocate your premiums among a variety of investment options offering different degrees of risk and reward: stocks, bonds, combinations of both, or a fixed account that guarantees interest and principal. This type of insurance is for people who are willing to assume investment risk to try to achieve greater returns. With Variable Life you’re shifting much of the investment risk from the insurance company to yourself. Good investment performance would provide the potential for higher cash values and ultimate death benefits. If the specified investments perform poorly, cash values and death benefits would drop accordingly. Universal LifeUnlike Whole Life and Variable Life where you pay fixed premiums, Universal Life offers adjustable premiums that give you the option to make higher premium payments when you have extra cash on hand or lower ones when money is tight.



Universal Life allows you, after your initial payment, to pay premiums at any time, in virtually any amount, subject to certain minimums and maximums. You also can reduce or increase the death benefit more easily than under a traditional Whole Life policy.



Most Universal Life policies will also provide a guaranteed rate of return on your cash values, with one important exception. It is possible that you will not accumulate any cash value if any, or all, of the following circumstances occur: administrative expenses increase, mortality assumptions are changed, the insurance company’s investment portfolio underperforms, premium payments are insufficient.



In recent years, there’s been considerable interest in what’s commonly referred to as Universal Life with Secondary Guarantees (also known as a “No-Lapse Guarantee”). With an ordinary Universal Life product, the policy could lapse under certain circumstances (e.g., interest rates fall below projections, insurance costs or administrative expenses rise, etc). When you buy a policy with a “secondary guarantee,” you’re guaranteed that the policy won’t lapse even if the above factors come to pass.



One of the most attractive things about Universal Life policies with Secondary Guarantees is that they provide lifelong coverage at rates that can be considerably lower than other forms of permanent insurance. That’s one of the main reasons why these policies have become so popular for estate planning purposes. If you have a federal estate tax liability (in 2008, estates valued at over $2 million are taxed), your main concern is liquidity at death. When you die, you don’t want your heirs to have to hastily sell off assets in order to pay estate taxes. With a Universal Life policy with Secondary Guarantees, the death benefit is guaranteed for life and you have the flexibility of adjusting your premiums, a valuable feature since estate tax rates and exclusion amounts keep changing from year to year. Variable Universal LifeVariable Universal Life insurance is a flexible premium, permanent life insurance policy that allows you to have premium dollars allocated to a variety of investment options, offering varying degrees of risk and reward. These policies are a good choice for people seeking maximum flexibility. Should your insurance needs change over time, Variable Universal Life usually provides the flexibility to increase or decrease your amount of coverage. You can also make a lump-sum payment to increase the policy’s cash value. (The maximum lump-sum payment is subject to IRS limitations.) And, should an emergency arise and you are short on cash, you may be able to skip a scheduled payment and let the accumulated cash value cover the policy’s expenses. Keep in mind that the cost of insurance and administrative expenses are still incurred. As your insurance needs change, it is quite probable so will your long-term investment goals and risk-tolerance levels. With Variable Universal Life, you have flexibility to transfer funds between the investment divisions, tax free. So, you have the freedom to make decisions based on your needs and not on the tax ramifications.

Explaining an Independant Agent!

It’s Time for US to Help People Insure Their Love

We insure lots of things. Our cars, our homes, our jewelry. And for good reason. They’re valuable possessions. But what about love? Is that something that you can insure? Actually, you can. Owning life insurance let’s your loved ones know that you care so much that you’ve made plans to provide for their well-being even after you’re gone. Think of it as the ultimate act of enduring love. You may be gone, but you can still provide for the ones you love by leaving them with a legacy of financial security.



That’s what it means to insure your love, but sadly a growing number of Americans don’t have the peace of mind that comes with owning life insurance. A recent LIMRA study found that 95 million adult Americans have no coverage at all and only 35 percent have any individually owned life insurance (not the limited coverage that you may have through work.) No one wants to leave their loved ones in a dire financial situation, but that’s exactly what can happen when a provider dies and doesn’t have any or enough life insurance.

In tough economic times, people feel that they “just can’t afford it right now”. Well, if times are tough now, how tough are they going to be and going to get, if something happens to you? They think, “ I will take care of this as soon as I can get around to it.” Then, the tragic and unexpected occurs, and those good intentions were…well, worthless. Not only does your family lose you, they lose everything…



It is our Responsibility as your provider, to help you solve this problem, in a secure, affordable and sensible way. Stop resisting getting this taken care of. You will feel so much better when you do, and so will your family. Call us, and let’s have a conversation.



The Agents at Complete Insurance Service