It’s tough to learn that the life insurance company you applied to will not be offering you coverage, especially if you were fully expecting a yes! You may fall into the “impaired risk market,” which means you have something in your background that makes you a higher risk for dying prematurely—think things like diabetes, obesity, a previous cancer diagnosis or even a history of DUIs.
While many applicants with this type of history understand they’re up against a hurdle or two, it’s not any easier to be denied life insurance coverage. But, often times, it doesn’t mean the hunt for an approval is over. There may still be options, which include applying to a more suitable company or applying for a different policy type.
Here are three actionable steps you should take if you’ve been denied life insurance.
I wanted to remind everyone about a simple yet very effective financial literacy tool: Monopoly.
There are few better lessons in life than on-the-job training. Monopoly is a great tool to simulate financial lessons. I’d recommend that you wait for a rainy day to pull the popular board game out, but when that day comes, you’ll find tons of excitement for children of all ages.
The financial lessons inherent in the game include …
Most of us take more time planning our vacations than our financial futures. That’s why we decided that a quick chat with a top financial advisor might do us all some good. We spoke with Sarah Kaelberer, CFP, ChFC, who is a partner and President of Business & Estate Advisers Inc. in the Minneapolis area. She led us through some common misconceptions about life insurance and who actually has an “estate.”
Adults and parents worry. We worry about our family’s health, safety, financial security and future. But more families need to put their money where their heart is by buying term life insurance. However, the issue isn’t a matter of hypocrisy, but a lack of research and financial literacy. According to a Life Happens and LIMRA study from this year, 65% of households have not purchased life insurance because they think it’s too costly.
To show that this is a common misconception, the group asked Americans to estimate the cost of a 20-year, $250,000 level term life policy for a healthy 30-year-old male. Eight in 10 people overestimated the cost, saying it would $400 a year, which is more than double its actual cost of about $160 a year or about $13 a month. Astonishingly, one in four thought it would cost more than $1,000 a year.
The legal rights of property ownership and control rest with the trustee, who then has the responsibility of managing the property as directed by the grantor in the trust document for the ultimate benefit of the trust beneficiary.
A trust can be a living trust, which takes effect during the lifetime of the grantor, or it can be a testamentary trust, which is created by the will and does not become operative until death.
In addition, a trust can be a revocable trust, meaning that the grantor retains the right to terminate the trust during lifetime and recover the trust assets, or it can be an irrevocable trust, meaning that the grantor cannot change or terminate the trust or recover assets transferred to the trust.