There is a rampant misconception out there that life insurance is too expensive and for that reason many people forgo even considering it as a financial planning tool. In a time when many families live paycheck to paycheck it is understandable that they would turn their backs on anything that they perceive as expensive.
But you know what is free? It doesn’t cost a dime to talk to a professional independent agent and find out exactly what life insurance will cost and exactly how much insurance you can comfortably fit into your budget. People are often pleasantly surprised, and relieved, to know that even the most meager of budgets can generally provide some meaningful amount of family protection.
One of the great safety nets that has been built into the life insurance application process is the free look period. In most states the free look period will allow you, having applied and been approved for insurance, to look it over without any obligation for 20 days. If you decide for any reason that it isn’t going to work for you, it can be returned to the agent without any cost to you.
One of the other great opportunities, although not all agents or agencies will do this, is to apply through an agent who doesn’t require any money with the application. The truth is that there is rarely a good reason for an agent to ask for money up front other than the “psychological consummation of the sale”. Even though the money is fully refundable if you withdraw the application or in the end you don’t accept the policy, it is just a fact that it throws up a mental red flag about changing your mind. People are less likely to take action that is adverse to an agent that they’ve given money to.
There are plenty of agents out there who agree with me that the process should have no hooks in it from beginning to end. Personally I would steer clear of any agent or agency that requires you to place money with the application. Again, there is no reason other than psychological for them to ask for it. They should have the confidence to win your trust by coming through with the policy you need first, and then earn your business.
Bottom line. Take advantage of the experience and expertise of an independent agent of your choice and find out exactly what you can do for your family without busting the budget.
June 20th, 2008
Because of the exceptionally high success rate in treatment of prostate cancer, it stands out as ultimately one of the most insurable cancer histories from a life insurance underwriting view.
Prostate cancer is the second most commonly diagnosed cancer among men, but it has often been said that virtually all men who live to an old age will have prostate cancer to some degree. Very often it goes undiagnosed because it is a slow growing cancer and most men who have it will die from something else never knowing it was there. Having said that, about 1 in 35 who have been diagnosed will die from the disease.
Life insurance underwriters are forever focused on “mortality experience”, and the good news with prostate cancer is that experience is very favorable. Because of more aggressive education and screening and improved treatment, the chances of surviving a diagnosis of prostate cancer is very much in your favor. The key is screening.
For the most favorable life insurance outcome early detection’s importance can’t be overstated. Underwriters want to see diagnosis with an early stage (1 or 2) and a low to moderate grade (no more than a Gleason grade 6), coupled with a diagnosis PSA level of usually 10-12 or less. By far the majority of prostate cancer is detected these days when the PSA starts showing consistent elevation from test to test, but is still within the normal (less than 4) range.
Cancer caught at this point will almost always meet the stage and grade criteria and will ultimately be successfully treated. The final criteria to be met is post treatment. If a person opts to have a radical prostatectomy underwriters expect that the PSA will go to 0 and once it has been there for a year, often standard or better rates can be found. If treatment is done by radioactive seed implant, the PSA threshold is .5 or below for at least a year.
As mentioned in previous posts, watchful waiting is not considered by underwriters to be treatment and anyone pursuing this completely legitimate option will be treated for insurance purposes as having untreated cancer. I have yet to find a company that will not decline to offer insurance in this instance.
Bottom line. The good news from a guy’s perspective is that, if almost all of us will have prostate cancer at some point, at least it isn’t one of the devastating killer types of cancer like lung or colon cancer where survival rates are not nearly as good. If you’ve had prostate cancer and need life insurance, seek out an independent agent to help you. Be prepared to provide a pathology report and know what your current PSA is.
June 20th, 2008
