4. Life Insurance Considerations for Doctors

September is life insurance awareness month, and we are diving in with some helpful tidbits.

Why life insurance?  There are lots of different reasons people consider life insurance including business loans, estate planning, and as a supplement to retirement planning.  Most people look into it to protect your families.  Whatever the reason, it is important to understand a few key things about how to get it and what it is.

How do I get life insurance?  For coverage outside of work, you generally provide certain medical details (and most likely complete a brief health exam!).  Life insurance companies will decide if they want to offer you coverage and how much it will cost by looking at your health, age, gender, and even hobbies.  The younger, healthier, and less dangerous you are the easier it is to get coverage.

What should I get?  That depends (our favorite answer).  If you have a young family and just want to make sure the kids are taken care of until they’re grown, a temporary or term life insurance product is probably the best choice.  You can usually get more of it for much less money.  Permanent life insurance can make sense for estate planning, business planning, and to build cash value.  Take it slow with this one!

Tip of the Day:  If you think you will need life insurance during your life, keep in mind that it will likely be easier to get and less expensive as a healthy young person.  So stop getting older.  And don’t jump out of any planes.

 

Thank you to the Financial Clarity Blog, our amazing clients, and the whole team at The Finity Group for providing support and inspiration.

For more financial planning tips from Corey and Rachelle find them on LinkedIn: @CoreyJanoff and @RachelleVanderzanden or Twitter:  @CoreyJanoffCFP and @RachelleFinance

Discussions in this show should not be construed as specific recommendations or investment advice. Always consult with your investment professional before making important investment decisions. Securities offered through Cambridge Investment Research, Inc., a registered Broker/Dealer, Member FINRA/SIPC.  Finity Group and Cambridge are not affiliated.