UPDATED: Mar 26, 2020
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Today we are going back to 1993, when the blockbuster movie “Groundhog Day” came out, starring Bill Murray as Phil Connors. Phil runs into an old acquaintance from high school, Ned Ryerson, who is now a life insurance salesman! Who can forget Ned’s portrayal of a typical insurance salesman?
“Do you have life insurance? Because if you do, you could always use a little more. Am I right or am I right, or am I right? Right, right, right. ”
Today we are going to let Ned be the salesman, after all, he does have some valid points, and we sure do love his enthusiasm!
Do You Have Term Life Insurance?
In a perfect world, every single person would have term life insurance. An alarming percentage of Americans today are uninsured, as high as 30-40% of adults have no life insurance at all. At the very bare minimum, everyone should have enough term life insurance to cover final expenses.
Imagine what a struggle your loved ones would go through if you were to pass away. In addition to grieving (which could take months or more off of a work schedule), bills such as the mortgage payment and living expenses would quickly overwhelm a person or family who has just lost a significant portion of their income. Don’t let your loved ones suffer any more than they need to if you were to pass away… Get some term life insurance!
You Could Always Use a Little More!
Most Americans are also under-insured to boot! The low-end recommendation is to cover ten years of your lost income in term life insurance. So if you make $50,000 per year, this would result in a $500,000 policy. If you stop to think about it, though, your loved ones likely would need more than ten years of your lost income, as the mortgage will probably not be paid off by then, the kids still need to get through college, and then there is retirement income to think about!
There are caps at how much term life insurance you can purchase based on your age and income. Therefore, we suggest you discuss this topic with a licensed life insurance agent or financial planner to be sure you do not purchase an inadequate term life insurance policy.
Right, Right, Right!
There are a million excuses out there not to get term life insurance and be financially responsible. However, that is just what they are, EXCUSES! Deep down, the financial guru in you knows that having sufficient term life insurance to protect your loved ones is essential. This is one thing that Ned is right about! Bing!
Happy Groundhog Day!