Archive for September, 2007
I had my first colonoscopy last year. I probably would have put it off for quite a while longer, but my wife had one done and kind of shamed me in to it. Anyway, it wasn’t as unpleasant as I had imagined and the results were good. I was told I didn’t need another one for 10 years since I didn’t have any family history of colon cancer.
I just read a woman’s story on MSNBC.com and I felt it compelling enough to share.
A lot of us lived through those times when it was truly different for someone to be successfully treated for cancer. I remember that back then it was often referred to as natural causes. A person died at age 38 of natural causes. They died due to cancer because, excuse me, but there isn’t anything natural about dying at 38.
Anyway, a compelling story about why to learn and remember your family health history.
Bottom line. From a health and life insurance standpoint, if you have a family history of, well, anything, you will fare much better if you have regular checkups. Cancer caught early is very curable today.
September 28th, 2007
A few weeks back I wrote a post on different aspects of life insurance policy, the guts if you will. In that post I covered the grace period and reinstatement. In a nutshell, if you are late with a payment your policy goes into a grace period. See the first page of the following attachment.
policy-view-_-2.pdf
As long as you get the premium paid during the grace period there is no evidence of insurability required. If you died during the grace period, the company would pay the death benefit minus any premium due.
Then there is the reinstatement clause. This reinstatement period can vary from company to company. I have seen companies willing to reinstate policies that had lapsed anywhere from a year to five years previously. Reinstatement requires evidence of insurability. This can be as simple as a good health statement saying that your health hasn’t changed, to full blown underwriting where you can be declined. If approved for reinstatement you have to pay all past due premiums to put the policy in force.
In spite of these safeguards, people let policies lapse all the time. Frequently this will happen when someone is paying annually, gets the big bill and doesn’t have the cash flow. Instead of calling their agent, or the company, to see if they can change to paying quarterly or monthly, they just grit their teeth and hope for money until the policy lapses. This is why all of my life insurance is paid monthly by automatic bank draft. Even I can’t mess it up. I brag to my wife that it is the longest string of on time payments I’ve ever had.
So, what happens if your policy lapses. Well, obviously, if you die your beneficiary gets nothing. So, why not wait until your finances are better and apply for a new policy. Well, that works as long as you are still insurable or at least insurable at a cost you can afford. A change in health can put you right out the life insurance business.
Bottom line. Unless you are great at paying bills and know that the cost of your life insurance is well within your budget, put it on a monthly bank draft. Bomb proof that piece of paper so that you know it will be there when it’s needed.
September 27th, 2007
Just when we get lulled into a sense of security about the postive attributes of alcohol as a deterrent for heart disease, someone shows up and ruins the party.
In a very recent study, it appears there may be a significant link between alcohol use and breast cancer. That is not to say that every drink you have drives you closer to cancer, but rather, the more you drink, the higher the risk.
There were a couple of interesting results from the study. First, it appears that the type of alcohol didn’t seem to have any impact on the result of whether someone was diagnosed with cancer. Red wine and tequila seem to be on a level playing field when it comes to breast cancer. I don’t believe that holds true for heart disease.
The other interesting find was that a light drinker (one or less drinks per day) didn’t show any increased risk. “Women who had one or two drinks a day increased their risk of developing breast cancer by 10 percent. Women who had more than three drinks a day raised their risk by 30 percent. A 30 percent increased risk is not trivial,” Klatsky said. “It provides more evidence for why heavy drinkers should quit or cut down.”
From a life insurance perspective, heavy drinking is not looked upon favorably. It brings up substantial concern from a life style standpoint and now appears there could be increased concern in other areas as well.
Bottom line. Whether it is heavy drinking, or tobacco use, life style choices can have an impact on your life, your mortality and your life insurance rates.
September 27th, 2007
In an ongoing effort to better serve the diabetes community, our new diabetes specific website is now live.
We hope this will offer a more direct way for us to be involved in discussion and education concerning diabetes, and a site that is dedicated to answering questions and providing life insurance needs specifically for those who have diabetes or for those who know someone who does.
Bottom line. If we are going to serve those with diabetes that have a need for life insurance, we also offer our commitment to serve in other ways. I hope you’ll visit our new site and I trust it will be as helpful to you as we intended it to be.
September 27th, 2007
I’ve been following NBC’s reality weight loss show Biggest Loser from a life insurance and health education view point. This had to be a tough week psychologically on the participant’s, as there was a lot of hard work going on and very few dropped any significant weight.
Hopefully Dr Jen , the Biggest Loser doctor, will address the physiological reason for this plateau. Based on my limited knowledge of the dynamics of weight loss through diet and strength training, these kind of plateaus happen because loss of fat is offset at times by by the gain in muscle mass.
Because of the small weight loss this week, from a life insurance perspective, there was not a lot of gains to be made. For this week I will post the new weights and leave the life insurance premiums alone. I suspect next week will see a lot of people falling off of that plateau and significant weight drops and life insurance rate drops will occur.
My disclaimer. There is an assumption as I provide quotes that there are no underlying health issues. Because insurance companies reward long term weight loss, there will be an assumption that the weight loss has been kept off for more than a year. All life insurance quotes are for $250,000 of 20 year term. I will be using the company that will make the best offer at any given height and weight. All quotes will be yearly premiums.
Blue team
Jerry – 62, 5’11, Start 297#, now 254 – Ending quote $2412.00 – voted off
Kae – 27, 5’2, Start 225#, now 197 – Start quote $310.00, now $225.00
Neil – 25, 6’2, Start 421#, now 386 – Start quote $560.00, now $441.00
Nicole, 26, 5’6, Start 279#, now 262 – Start quote $344.00, now $310.00
Patty, 34, 5’8, Start 280#, now 260 – Start quote $449.00, now $388.00
Ryan, 29, 5’10, Start 374#, now 347 – Start quote $610.00, now$544.00
Red Team
Amy, 28, 5’6, Start 297#, now 279 – Start quote $413.00, still $413.00
Bryan, 29, 6’0, Start 346#, now 321 – Start quote $544.00, now $430.00
David, 31, 6’0, Start 368#, now 338 – Start quote $622.00, now $580.00
Phil, 27, 6’5, Start 403#, now 363 – Start quote $513.00, now $453.00
Black Team
Bill, 40, 5’8, Start 334#, now 298 – Start quote $912.00, now $794.00
Hollie, 28, 5’7, Start 255#, now 239 – Quote $319.00, now $225.00
Isabeau, 21, 5’8, Start 298#, now280 – Start quote $344.00, still $344.00
Jez, 24, 5’8, Start 345#, now 316 – Start quote $570.00, now $520.00
Jim, 40, 5’7, Start 361#, now 325 – Start quote $1148.00, now $1078.00
Julie, 34, 5’2, Start 218#, now 210 – Start quote $388.00, still $388.00
I don’t want to minimize the weight loss that happened. For these folks every pound is going in the right direction. I think it’s important to keep in perspective the three components of weight loss, fat, water and muscle. I think it is a fair leap of assumption to say that the first week was mostly fat and water loss with very little muscle building. This plateau of muscle building will provide the added stamina to go after more fat next week.
I have implored the Biggest Loser folks to spend some time, any time, talking about obesity and the collateral health issues that it can cause. So far they aren’t real enamored by my suggestions. Must be too busy counting the advertising dollars to worry about health education.
Bottom line. Life insurance underwriting for overweight people looks at all of those health issues that Biggest Loser isn’t talking about. Obesity, unless brought under control, brings with it a strong likelihood of diabetes, high blood pressure and heart disease at the very least. This is stuff the Biggest Loser producers should be talking about.
September 27th, 2007
With Life Insurance Awareness Month drawing to close I wanted to share a very compelling video clip from a talk given in Washington, DC by Molly Shannon, a former cast member of Saturday night live.
While she (no surprise) starts with a chuckle, she soon gives her real life account
about her mother dying in a car accident and the financial hardship that caused. She also relates, on a very personal level, her feelings about the role life insurance plays in her life.
Bottom line. We all know someone with a story very much like Molly Shannon’s. Let’s all reach out and talk to our friends and family about life insurance.
September 26th, 2007
I received a copy of a news release this morning from NAIFA, the National Association of Insurance and Financial Advisors, and I wanted to pass it on to you. I think the message of Life Insurance Awareness is a vital and important message. I think that our Congress passing a resolution on September 24 making September Life Insurance Awareness Month would be funny, if it wasn’t indicative of the norm for our governing bodies.
September 25, 2007 (Washington, DC) —In a move highlighting the urgent need to secure American families’ financial futures, the Senate and House of Representatives have passed resolutions (S. Res. 201 and H. Res. 584, respectively) recognizing September as Life Insurance Awareness Month. The Senate resolution, introduced by Sen. Ben Nelson (D-NE) and Sen. Saxby Chambliss (R-GA), passed Friday with overwhelming support from members of both political parties. In the House, Rep. Paul Kanjorski (D-PA) and Rep. Judy Biggert (R-IL)’s proposed resolution attracted 88 co-sponsors and passed yesterday. A complete list of co-sponsors from both chambers of Congress is available on the National Association of Insurance and Financial Advisors’ (“NAIFA”) at http://capwiz.com/naifa.
“Life insurance is an important foundation of financial security. Without it, families’ dreams for the future can be lost with the untimely death of a loved one. Unfortunately, there are too many Americans who lack adequate life insurance coverage,” said Sen. Chambliss. “It is my hope that the adoption of this resolution helps underscore the need for people to address their life insurance needs.”
“This legislation will help raise awareness of the importance of life insurance,” said Sen. Nelson. “I hope this designation will encourage more Americans to seek information and secure the lifetime protection their families need.”
This is the fourth consecutive year that Congress has passed resolutions supporting Life Insurance Awareness Month, during which the life insurance industry conducts a wide array of public relations and marketing programs. The Life and Health Insurance Foundation for Education (“LIFE”) coordinates the efforts of more than 100 life insurance companies and trade associations, including NAIFA. This year, actress and Saturday Night Live alum Molly Shannon was retained by LIFE to be the 2007 campaign’s spokesperson. She has shared her personal story of family loss and the value of life insurance at various public appearances this month and in dozens of interviews with TV, radio and print media.
“I am pleased that the House of Representatives passed the resolution recognizing September as National Life Insurance Awareness Month,” Rep. Kanjorski said. “This resolution highlights the importance of life insurance and will hopefully encourage more Americans to gain the coverage needed to meet the long-term financial needs of their families.”
“How many times have any of us heard friends or loved ones sadly reflecting that the deceased had no life insurance or had too little life insurance to safeguard the financial future of their loved ones?” said Rep. Biggert. “That’s why it’s so important that consumers are aware of their insurance needs, seek professional advice, and take the actions necessary to achieve financial security for their families.”
In an August letter, President Bush commended the efforts of those who observe and promote Life Insurance Awareness Month. Governors in 35 states and the mayor of the District of Columbia have also signed Life Insurance Awareness Month resolutions. Government support for the initiative this year also came from the National Association of Insurance Commissioners and the National Conference of Insurance Legislators, both of which issued proclamations recognizing September as Life Insurance Awareness Month.
“On behalf of NAIFA, I want to commend the Congress and the state governments for their overwhelming support for this important public awareness campaign,” said NAIFA President Jeffrey J. Taggart, CLU, ChFC, LUTCF.”No one likes to think about the possibility of dying too soon and leaving their families behind, but the reality is there. We hope the millions of uninsured and underinsured Americans get the message—that life insurance is an essential part of a financial plan and that they need to get the coverage today to protect their families from financial peril in the face of the unthinkable.”
Bottom line. I’m pleased that our legislators saw the urgency of this issue, otherwise they might have waited until November to make September Life Insurance Awareness Month.
September 26th, 2007
Life insurance underwriters have their hands full trying to sort through all of the possibilities with an applicant suffering an anxiety disorder. I had in my mind that it was just this simple. People had depression and they were down. People had anxiety disorders and they were, well, anxious about too many things.
But now I find out that anxiety disorder is a generic term that covers several mental issues that affect nearly 20 million adults in the US. That’s 13.3% of adults. Now, I didn’t do a study, but I’m thinking about 95% of teenagers and young adults probably suffer from the same issues, or maybe because I’m old and slow it just seems that way.
Anyway, from an underwriting standpoint, insurance companies are looking for stability and control. And just a footnote. Being on disability is not seen as stability and control. Stability would be when you can function normally in society in things such as having a job. Control is being compliant enough with treatment that you can keep the job and carry on with things such as family life.
Bottom line. Issues of anxiety and depression, as long as there is control and stability, can be underwritten at rates as good as preferred. This is definitely a time when an independent agent will be worth their weight in something just because each company sees the subject from a little different angle.
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September 26th, 2007
At least there are a few good things about sleep apnea. First, who needs a doctor when your spouse can diagnosis it for you? Second, and a little more seriously, once diagnosed it is very treatable.
Sleep apnea is a challenging underwriting task for life insurance. Like health issues such as type 2 diabetes, the actual disease or problem may not carry that high a mortality risk, but when combined with all the collateral health issues it becomes much more complicated.
Take for instance the fact that a person with sleep apnea is four times more likely to have a stroke. About half of all people with sleep apnea also suffer from high blood pressure. Most men with sleep apnea have been beaten by their wives on multiple occasions until they have agreed to see a doctor.
Bottom line. Life insurance is all about determining mortality risk. When sleep apnea is out of control the mortality risk is substantially elevated due to collateral issues. When it is well controlled, providing all other risk factors are good, preferred rates are not out of the question.
September 26th, 2007
Breast cancer is the second most common cancer among women. As with men, the most common is skin cancer. Over 40,000 women will die from breast cancer this year and that represents a steady decrease in the number of breast cancer deaths since 1990.
Some important statistics concerning breast cancer are that 1 in 8 women will develop breast cancer during their life time. In 2007, between invasive and non invasive (in situ) breast cancer, there will be about 240,000 new cases diagnosed.
The downturn in the number of women diagnosed and dying from breast cancer appears to be a result of more aggressive screening, education and treatment. I know that back when my aunt was diagnosed with breast cancer, regular screening was pretty much unheard of. She beat the odds back then, after having a mastectomy, by surviving to age 80 or so. At that time she succumbed to the number one cancer cause of death in women, lung cancer.
These statistics are the very thing that has life insurance underwriters rethinking old guidelines. What is happening is that breast cancer is being caught at earlier stages and treatment is more successful. Survival rates at early stages is exceptional. In situ breast cancer will generally have a survival rate of 90-100%.
Where breast cancer used to mean an automatic decline from most insurance companies, depending on the stage and grade of the cancer, and how far out you are from the last treatment, better than standard rates are definitely not out of picture.
Bottom line. Proactive!!! Regular screening, self exams and education about risk factors are all helping to cut down on the number of women who die from breast cancer.
September 25th, 2007
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